Q: what is meant by “The money market is necessary but not sufficient for the liquidity of securities…
A: Solution- The money market is an organized exchange market where participants can lend and borrow…
Q: When a company decides to issue capital on the stock market what is the process called? (a) An…
A: A) An Initial Public Offering means a company issuing capital to public for the first time on stock…
Q: - Which of the following is the basis for fixing the price of securities in the financial market?…
A: Government is a regulatory body and doesn't fix the price of the security. Option a. is incorrect.…
Q: What is the difference between the dealer and the broker in the stock market? (Explain clearly.)
A: Broker: A broker is a person who will buy and sell securities for their client. Dealer: A…
Q: Within the context of services provided by a stockbroker, discuss the two main types of stockbrokers…
A: Stockbroker: A stockbroker is an authorized and directed money related firm that encourages…
Q: What are the pros and cons of All Cash deal vs Stock deals and Taxes
A: The question is based on the concept of merger and acquisition (M&A) by use of different methods…
Q: Which of the following is a constrain for the investors? a. The mentality tontake the high risk b.…
A: Investing is a critical component of wealth growth. It enables the investor to fight inflation,…
Q: For investors, the function of secondary markets is to provide marketability for the shares of…
A: Secondary market is a type of market where investors buy and sell securities or assets from other…
Q: Discuss the differences between the primary and secondary markets. when we buy stocks through…
A: Primary market is the market where new securities are issued in the market for the first time on the…
Q: What is a deal (and acquisition) where the buyer's stock fell and the target's stock rose?
A: Acquisition - is the purchase of one company by the another. Example: Purchase of Time Warner by AT…
Q: Commercial papers are traded in the money market capital market private market IPO market O O O
A: Commercial paper is the instrument issued by corporates to raise short term debt capital from the…
Q: Which of the following is an example of a capital market instrument? Money market mutual funds.…
A: Capital markets are where savings and investments are routed between providers (people or…
Q: Explain the statement “The money market is necessary but not sufficient for the liquidity of…
A: Money market is an organized market which meets short term requirements of the borrowers and…
Q: In this section we examine three theories of ivestor preference: The dividend irrelevance theory.…
A: Note : Since you have asked multiple questions, we will solve the first question for you. If you…
Q: Explain how securities markets provide a link between the corporation and investors.
A: Investment means engaging the funds to generate income for the future. Those who invest their funds…
Q: What is the stock market? How do you explain its significance to an economy
A: A stock market is a very important and a very significant part of a country's economy.
Q: What are the tools and measures that objectively measure the level of emotions among individual…
A: Individual investors are usually those who have a limited amount of investment. These investors…
Q: Both individuals and companies monitor the stock market. Explain how their reasons for doing so…
A: individual monitor their stock price by the following steps 1) keep updated about the latest news…
Q: Why a stock exchange is called an auction market?
A: Stock exchange is market where there is buying and selling of shares in the market.
Q: Was the creation of the subprime issue good for the stock market or bad (trick question?)? Good for…
A: The us subprime mortgage crisis was considered as multinational financial crisis that occured…
Q: Which is true about the primary market versus the secondary equity market? The primary market is for…
A: The primary and secondary markets: The primary market is the market where companies issue stock…
Q: Which of the following statements is/are FALSE regarding the differences between the New issue…
A: Primary market is the part of capital market which deals in newly issued securities. It facilitates…
Q: capital marke
A: common stock and corporate bonds are traded in capital market. capital market is a place where…
Q: Indicate whether the following statements are true or false. If the statementis false, explain…
A: Introduction: Capital gain is referred as any profit or gain that coming from the sale of a ‘capital…
Q: please explain why insider trading is bringing harm to the capital market activity
A: When the investor's buying and selling the securities from the capital market from the person who…
Q: why is money market necessary but not sufficient for the liquidity of securities on the stock market
A: Money market (MM) is a place where short term (ST) securities are traded. Generally, governments or…
Q: Which of the following statements is NOT CORRECT? "Going public" establishes a firm's true intrinsic…
A: PUBLIC COMPANY public company are those company which has sold all or part of its…
Q: What is treasury stock? Why would a company repurchase its own stock? How might they dispose of the…
A: Stockholders’ equity is the measure of assets staying in a business after the sum total of the…
Q: Is stocks or bonds important to the company or just the investor?
A: The company issues ownership rights in the form of shares to the investors to raise the money from…
Q: What is (are) the test(s) REQUIRED by the NYSE so that companies are eligible to list their shares?…
A: There are various test required for companies to eligible to list their shares
Q: Choose the correct statement about different types of financial markets: a. Capital market is the…
A: From the following statement, we have to find out the correct statement about the financial market.…
Q: Explain people involved in stock exchange
A: A stock exchange does not hold any stock. Instead, it serves as a marketplace for stock buyers and…
Q: Investment banking firms offer to facilitate the sale of securities to the public in a variety of…
A:
Q: What do you know about stock exchange, discuss its main functions. How to invest in the stock…
A: Stock exchange is an integral part of the capital market and financial market across the globe.
Q: What is a stock exchange? How does it help investors?
A: Stock Exchange: It is a place where securities like stocks and bonds are traded. Usually, bonds are…
Q: how would participants interact to facilitate capital market activities?
A: Capital market is the market that deals in financial assets, which have a longer or indefinite…
Q: escribe some mechanisms that are used to solve the stockholder/bondholder agency conflict and the…
A: Agency problem means conflict between the stockholders and the management . There are three type of…
Q: Is there a type of stock preferable over the other? Should a corporation also utilize borrowing if…
A: Equity Stock represents the equity shares of a company. Equity shares are the part of company owned…
Q: In your opinion, should a public listed company pay attention to the market price of its common…
A: Market prices are decided by the demand and supply(D/S) of the security and investors perception…
Q: Secondary Market can be best described in which of the following statement? a. It is a market for an…
A: Stock market there are buying and selling of securities are done depending on demand and supply of…
Q: What are some of the reasons why investors post IPOs into the primary markets?
A: An initial public offering occurs when a private firm sells its first shares of stock to the general…
Q: Which one is expected to be the safest investment. O Corporate bonds Common stock U.S. Treasury…
A: So if firms and governments want funds to fund initiatives and growth, they can borrow from the…
Q: Which one of the following is not a money market instrument? a. Equity Shares b. Bankers'…
A: money market instruments are short term liquid instruments which are highly liquid.
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- Both individuals and companies monitor the stock market. Explain how their reasons for doing so might differ.Explain the differences among broker-dealer networks, alternative trading systems, and registered stock exchanges.An important financial institution that assists in the initial sale of securities in the primary market is the investment bank. commercial bank. stock exchange. stock broker.
- Which of the following is the basis for fixing the price of securities in the financial market? a. Government b. Demand and Supply in the Market c. Seller of the Financial Instrument d. The issuer of the InstrumentsWhat do you know about stock exchange, discuss its main functions. How to invest in the stock exchange? please explain.Who is responsible for monitoring stock in the stock market? Who issues a stop loss on stocks? Please explain
- Create an illustration showing: How primary and secondary markets work. 2. The market participants: Investors, stockbroker, stock exchange, transfer agents, depository, clearing house and settlement banks.which term is used to describe a feature added by major stock exchanges to restrict program trading in extreme market circumstancesThe process of fixing the price of securities in the financial market is based on which of the following: a. Demand and supply of the market helps to fix the price b. Government fixes the price c. Price is fixed by the seller of the Financial Instrument d. Price is fixed by the issuer of the Instruments
- What is the difference between the dealer and the broker in the stock market? (Explain clearly.)A stock market analyst is able to identify mispriced stock by analyzing the financial statements of the company’s stock. what is the efficiency form of this market? Explain.The process of fixing the price of securities in the financial market is based on which of the following: a. Price is fixed by the seller of the Financial Instrument b. Price is fixed by the issuer of the Instruments c. Government fixes the price d. Demand and supply of the market helps to fix the pric