The exchange markets and over the counter markets are considered as two types of __________?
Correct answer: C. secondary market
- A. floating market
- B. risky market
- C. secondary market
- D. primary market
Explanation
Exchange-traded and over-the-counter transactions generally involve securities that have already been issued, so they are secondary-market activities. Primary markets are where companies or governments sell new securities to investors.
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Business finance explains how organisations plan, obtain and use money while balancing risk, return and liquidity. Topics include financial statements, time value of money, budgeting, working capital, capital structure, sources of finance, investment appraisal and cost of capital. Capital budgeting evaluates long-term projects, whereas working capital manages day-to-day operations.
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