Question 31
Financial InstitutionsThe stock exchange market is where
- A.businessmen borrow some capital
- B.the federal government trades on treasury bills
- C.existing bonds and stocks are traded
- D.new stocks and shares are bought or sold.
Show the answer and explanation
Answer: C (existing bonds and stocks are traded)
Explanation
The stock exchange is mainly a secondary market where existing shares and bonds are bought and sold.