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Commerce · Q941

Financial Management

Graduate and Post Graduate · Commerce · question 941

Q941

Markets in which corporations raise capital for creating market transaction which are classified as

A.
commercial markets
B.
residential markets
C.
primary markets
Answer
D.
consumer credit loans

Answer: Option C

Solution

Answer: Option C
Solution:
Markets in which corporations raise capital for creating market transaction which are classified as primary markets. The primary market is where securities are created. It's in this market that firms sell (float) new stocks and bonds to the public for the first time. An initial public offering, or IPO, is an example of a primary market.