Question

What is the main objective of capital issuance by a

Q: Answer- What is the main objective of capital issuance by a company?

While the given options may all be reasons for a company to seek capital, the primary objective often cited for capital issuance is to expand an existing company. This includes funding new projects, entering new markets, or enhancing production capabilities to drive growth.

company?

A To finance debt repayment

B To distribute profits to shareholders

C To expand an existing company

D To cover operational losses

E All of the above

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What is the main objective of capital issuance by a

Solution