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4 July, 12:45

You own 200 of the 10,000 outstanding shares of Invite stock. The firm just announced it will be issuing an additional 2,000 shares to the general public. What type of event are you participating in if you decide to purchase 100 of these additional shares?

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  1. 4 July, 13:16
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    A rights offering

    Explanation:

    Current shareholders can participate in a rights offering, by which they can purchase additional shares of the corporation. During a rights offering, current shareholders are given the first option to buy newly issued shares before those shares are offered to the general public.
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