QUESTION 1: True or False

A) When the source of internally generated funds is not enough to finance other potential value creating opportunities, the organization will raise funds through external sources.

True

False

B) Investors cannot own shares of a company before it issues an IPO

True

False

C) When newly issued securities are sold to investors for the first time, it is known as a secondary market offering

True

False

D) Terms and conditions that are put in place for a company doing a bond offering are covenants.

True

False

E )A pro-forma statement is an estimate of future financial results

True

False