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In a spin-off, shares of the new company are sold as a public offering. (Incorrect) shares of the new company are given to shareholders of

In a spin-off,

shares of the new company are sold as a public offering. (Incorrect)

shares of the new company are given to shareholders of the parent company. (Incorrect)

shares of the new company are bought by borrowing or issuing junk bonds.

a private equity firm sells the assets of a portion of an acquired company.

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