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Which one of the following statements about IPOs is NOT true? IPOs are usually overpriced relative to the levels at which their price stabilizes after

Which one of the following statements about IPOs is NOT true?

IPOs are usually overpriced relative to the levels at which their price stabilizes after they begin trading in the secondary market.

IPO is the process of selling stock to the public for the first time.

Firms will usually hire an underwriter to deal with the process of IPOs and communicate with institutional investors.

IPOs often provide very good initial returns to investors.

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