• 2022-05-27
    Which of the following statements regarding primary and secondary markets is FALSE()
    A: Secondary market transactions occur between two investors and do not involve the firm that originally issued the security.
    B: New issues of government securities can be sold on the primary market.
    C: Prevailing market prices are determined by primary market transactions and are used in pricing new issues.
  • C

    内容

    • 0

      Stock markets are divided into primary market and secondary market.

    • 1

      According to the maturity time of the securities, financial markets can be divided into: A: Debt market and equity market B: Money and capital market C: Primary market and secondary market D: Spot market and forward market

    • 2

      A ‘primary market' is a market: () A: only for equity issues by major or ‘primary' companies. B: where borrowers sell new financial instruments to buyers. C: where savers sell new financial claims to borrowers. D: where government securities are bought and sold.

    • 3

      A secondary market is a financial market in which securities that have been previously issued can be resold. ( ) A: True B: False

    • 4

      Which of the following is a difference between primary and secondary capital markets() A: Primary capital markets relate to the sale of new issues of bonds, preferred, and common stock, while secondary capital markets are where securities trade after their initial offering. B: Primary markets are where stocks trade while secondary- markets are where bonds trade. C: Both primary and secondary markets relate to where stocks and bonds trade after their initial offering.