Which happens when a company goes public?

Responses

sells shares of stock in a public stock market

sells shares of stock in a public stock market

gets taken over by the federal government

gets taken over by the federal government

issues bonds that can be bought by anyone

issues bonds that can be bought by anyone

offers its products for sale in the free market

1 answer

When a company goes public, it sells shares of stock in a public stock market. This process is known as an initial public offering (IPO), where the company offers its shares to the public for the first time, allowing investors to buy ownership in the company. The other options, such as getting taken over by the federal government or issuing bonds, are not correct in the context of a company going public.