Special Purpose Acqusition Companies (SPACs) became very popular lately as some prominent privae firms chose to go public through a combination with a SPAC. Below are some statements about SPACs. 1) SPACs are also called blank-check companies because they do not have any business operations but cash when they are set up. 2) SPACs raise cash through an Intitial Public Offering (IPO), i.e., selling new shares to public investors, and their purpose is to use the raised cash to acquire other companies. 3) A private company acquired by a SPAC quickly becomes a public company because the SPAC is already listed on a stock exchange. 4) Because a SPAC only has cash and no business operations, its stock market valuation is equal to its cash value. 5) A SPAC can use the cash raised thorough its IPO to invest in stocks and bonds just like a mutual fund does. 6) Some SPACs generate good returns because they are backed by celebrities like Shaquille O'Neal and Colin Kaepernick, . Which statement(s) are correct?

A.

1, 2, 3, 4, 5, and 6

B.

1, 2, and 3

C.

1, 2, 3, 4, and 5

D.

1 and 2