Question: KNOWLEDGE CHECK Why do companies do IPOs? Company management gets to ring the bell on the stock exchange floor. When companies go bankrupt, they

KNOWLEDGE CHECK Why do companies do IPOs? Company management gets to ring the bell on the stock exchange floor. When companies go bankrupt, they must delist. IPOS incentivize entrepreneurs to innovate as IPOS provide a way for entrepreneurs to monetize their work. Companies with revenue above a certain threshold must be publicly listed by law.

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