13. A new stock issuance by a specific firm that already has stock outstanding is referred to a a(n) a. stock repurchase. b. secondary stock offering or seasoned equity offering (SEO) c. initial rights issue. d. initial public offering (IPO) e. None of the above. 14. Which of the following is not true regarding the Sarbanes-Oxley Act? a. It requires firms to establish an internal control process for their financial reporting b. It requires a firm's CEO and CFO to certify that the audited financial statement are accurate. c. It allows public accounting firms to offer non-audit consulting services to an audit client whether the client's audit committee pre-approves the non-audit services or not. d. It prevents members of a firm's audit committee from receiving consulting or advising fees or other compensation from the firm beyond that earned from serving on the board. 15. When a firm buys some of its shares that it had previously issued, this is referred to as a: a. reverse IPO b. leveraged buyout. c. ladder spin. d. stock repurchase or buyback. e. None of the above. 16. A firm has a current stock price of $15.32. The firm's annual dividend is $1.14 per share The firm's dividend yield is a 0.74 percent. . 1.34 percent. c. 7.44 percent d. 1.14 percent. e. None of the above. 17. Private firms that need a large equity investment but are not yet in a position to go public may attempt to obtain funding from a venture capital (VC) fund a. True b. False 18. In preparing for an IPO, a prospectus must be filed with the a. stock market where the firm will be listed. b. Securities and Exchange Commission (SEC). c. Consumer Financial Protection Bureau (CFPB). d. Federal Trade Commission (FTC). e. All of the above