question 3 of 10\nhow does a corporation benefit from issuing stocks?\nit increases the property value of…

question 3 of 10\nhow does a corporation benefit from issuing stocks?\nit increases the property value of their factories\nit allows one or two highly skilled businessmen to make important decisions\nit allows them to raise a large sum of money while spreading out the financial risk\nit limits their ability to raise money, which limits the risks they could take

question 3 of 10\nhow does a corporation benefit from issuing stocks?\nit increases the property value of their factories\nit allows one or two highly skilled businessmen to make important decisions\nit allows them to raise a large sum of money while spreading out the financial risk\nit limits their ability to raise money, which limits the risks they could take

Answer

Brief Explanations:

Issuing stocks enables a corporation to sell ownership shares to investors. This way, it can raise substantial capital. Also, by having multiple shareholders, the financial risk is distributed among them.

Answer:

it allows them to raise a large sum of money while spreading out the financial risk