QUESTION 1: True or False

A) Changes in the stock price and the number of shares available will evoke changes in the market cap.

True

False

B) After an IPO, the value of a companys securities is set by the market through the laws of supply and demand

True

False

C) An example of direct financing is when a company raises funds from commercial banks, insurance companies, pension funds, and venture capital firms.

True

False

D) The concept of currency for acquisition refers the shares of a company being used to acquire other companies.

True

False

E) Remaining private can reduce the legal and regulatory requirements for a company.

True

False