The suppliers and demanders of the long term investment funds work closely in ____________?
Correct answer: A. bond markets
- A. bond markets
- B. classical set markets
- C. open end markets
- D. close end markets
Explanation
Bond markets bring together suppliers of long-term funds, such as investors, and demanders of funds, such as corporations and governments. The broader term is capital market, but bond markets are the only suitable option listed.
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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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