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An Initial Public Offering (IPO) is a major milestone for acompany. This is a very expensive and time-consuming process. Itdoes not come without a lot of forethought and judicial weighing ofthe pros and cons. We will start this conversation by looking atsome of the reasons why a company would decide to take the steps tobecome a publicly traded corporation. What pros and cons have to beweighed?Instructions - Use the numbers in the instructions to organizeyour post and ensure that you meet all requirements.1. The #1 benefit of an IPO is the capital that is raised. Listone additional way a company would benefit from an IPO. Explain inone paragraph.2. List one use of additional capital. Explain the benefit inone paragraph.3. Many changes in reporting standards have been enacted as aresult of financial scandals. Identify one specific change inreporting standards or requirements for publicly traded companiesand explain why this is important. Identify the change by the titleof the act or section number.NOTE: The Sarbanes-Oxley Act is the most frequently mentionedchanged. It contains many individual provisions. Break it down toone provision that has not been mentioned by a classmate. There area number of more recent changes to select from as well.