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Discussion 1: Initial Public Offering One method utilized by companies to obtain the long-term capital necessary to run and grow their businesses is by providing the general public with the option to purchase stocks. The company's first sale of stock is known as the initial public offering (IPO). When a company first goes public, it is very difficult to judge how much investors will be prepared to pay. therefore, for the IPO, stocks are, on average, underpriced. To prepare for this Discussion, review this week's Learning Resources and consider the hidden but real costs of IPOs and the risks associated with a company going public. By Day 3 Post an evaluation of the use of stock underpricing in light of established theories of market efficiency, In your evaluation, do the following Explain underpricing and some possible reasons for its use Assess the implications of stock underpricing on an organization's IPO. Support your evaluation with scholarly references to financial theory related to market efficiency. Be sure to support your work with a minimum of two specific citations from this week's Learning Resources and one or more additional scholarly sources. Refer to the Week 8 Discussion 1 Rubric for specific grading elements and criteria Your instructor will use this rubric to assess your work