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Fundamentals of Financial Manageme...
Fundamentals of Financial Manageme...
Is an initial public offering an example of a primary or a secondary market transaction? Explain.
To identify: Whether initial public offering is the transaction of primary market or secondary market.
Introduction:
Initial Public Offering: It refers to the offering which is done first time by any private corporation to invite the public to buy the stock in the primary market. To raise the more funds company go for initial public offering.
- Primary market is the place where the companies firstly invite to the public to buy the shares.
- Before the initial public offe...
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