which of the following statements is not correct?\n“going public” establishes a firms true intrinsic value…

which of the following statements is not correct?\n“going public” establishes a firms true intrinsic value and ensures that a liquid market will always exist for the firms shares.\nwhen stock in a closely held corporation is offered to the public for the first time, the transaction is called “going public or an ipo,” and the market for such stock is called the new issue or ipo market.\nwhen a corporations shares are owned by a few individuals, we say that the firm is “closely, or privately, held.”\nthe stock of publicly owned companies must generally be registered with and reported to a regulatory agency such as sec.\nit is possible for a firm to go public and yet not raise any additional new capital for the firm itself.

which of the following statements is not correct?\n“going public” establishes a firms true intrinsic value and ensures that a liquid market will always exist for the firms shares.\nwhen stock in a closely held corporation is offered to the public for the first time, the transaction is called “going public or an ipo,” and the market for such stock is called the new issue or ipo market.\nwhen a corporations shares are owned by a few individuals, we say that the firm is “closely, or privately, held.”\nthe stock of publicly owned companies must generally be registered with and reported to a regulatory agency such as sec.\nit is possible for a firm to go public and yet not raise any additional new capital for the firm itself.

Answer

Brief Explanations:

"Going public" doesn't always establish a firm's true intrinsic value precisely as market prices can be affected by various factors like market sentiment, speculation. Also, it doesn't ensure a liquid market always exists as market conditions can change, and trading volumes can vary greatly. The other statements are correct definitions and facts about private - held firms, IPOs, and public - owned company regulations.

Answer:

"Going public" establishes a firm's true intrinsic value and ensures that a liquid market will always exist for the firm's shares.