The correct statement about SEO includes:
A. Stock price tend to go up when SEO is issued
B. It is one of the important ways for a firm to raise debt
C. Like stock buyback, SEO issuing can also be explained by the signaling theory
D. There is also a winner's curse related to SEO
E. If management believes equity is undervalued, they would choose to conduct SEO.

Answer rating: 100% (QA)

The detailed answer for the above question is provided below C Like stock buyback SEO issuing can al... View the full answer