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XYZ corporation is authorized for $1,000,000 shares and currently has 800,000 shares outstanding. In an attempt to raise additional capital, XYZ decides to issue the
XYZ corporation is authorized for $1,000,000 shares and currently has 800,000 shares outstanding. In an attempt to raise additional capital, XYZ decides to issue the remaining 200,000 shares for which it is authorized to do so. The issuance of an additional 200,000 shares of stock by XYZ to the investing public is an example of:
A. A secondary market transaction
B. A primary market transaction
C. An intitial public offering
D. Both B and C
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