BACHELOR OF BUSINESS ADMINISTRATION

BUSINESS ADMINISTRATION

OFFICE MANAGEMENT

Question [CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
Below is the role of the capital market is ____
A
Keep stock prices stable
B
Can finance development
C
Can cover the deficit from the state budget
D
One source of government revenue
Explanation: 

Detailed explanation-1: -Capital markets allow traders to buy and sell stocks and bonds, and enable businesses to raise financial capital to grow. Businesses also have reduced risk and expenses in acquiring financial capital because they have reliable markets where they can obtain funding.

Detailed explanation-2: -Capital markets play a vital role in an economy as one of the most powerful drivers of economic growth and wealth creation. Capital markets match borrowers with savers and their respective risk appetites for financial instruments, with an aim to produce a profitable investment opportunity for both parties.

Detailed explanation-3: -Understanding Capital Markets These venues may include the stock market, the bond market, and the currency and foreign exchange (forex) markets. Most markets are concentrated in major financial centers such as New York, London, Singapore, and Hong Kong.

Detailed explanation-4: -The term capital market includes the stock market, bond market, and related markets.

There is 1 question to complete.