- CFA Exams
- CFA Level I Exam
- Topic 5. Equity Investments
- Learning Module 36. Market Organization and Structure
- Subject 6. Primary Security Markets
CFA Practice Question
If Disney is to issue new common stock, what would the offering be termed?
A. Seasoned new issue
B. Shelf registration issuance
C. Initial public offering (IPO)
Explanation: Disney already has common stock outstanding.
User Contributed Comments 7
| User | Comment |
|---|---|
| rrichmondo | Why not (B)? |
| jpducros | I think Shelf Registration is for the secondary market....and here we talk about new issuances. |
| dini85 | Y not IPO? |
| showmethemoney | no reason to make any assumption about disney being already in the market, although we all know disney already went public.. |
| soukhov | seasoned new issue = SPO ? |
| dan1987 | Disney is to issue new common stock -> indicates that there is old common stock and therefore has already had an IPO |
| davcer | for non american candidates knowing that disney already has issued stocks is not straightforward |