Question
Business Studies Question on Financial Markets
Identify the method of flotation in the Primary Market wherein a company sells securities en bloc. at an agreed price to a broker.
A
Rights issue
B
Offer for sale
C
e-IPOs
D
Offer through Prospectus
Answer
Offer for sale
Explanation
Solution
In an "Offer for Sale," a company sells its securities to a broker, who then sells them to the public. This method helps raise capital without directly dealing with investors.