Question : Financial market helps to link the savers and the investors by mobilising funds between them. Which function of financial market is highlighted in the given statement?
Option 1: Facilitating price discovery
Option 2: Mobilization of savings and channeling them into the most productive uses
Option 3: Providing liquidity to financial assets
Option 4: Reducing the cost of transactions
Correct Answer: Mobilization of savings and channeling them into the most productive uses
Solution : Financial market facilitates the transfer of savings from savers to investors. It gives savers the choice of different investments and thus helps to channelise surplus funds into the most productive use.
Hence, option B is correct.
Question : A financial market facilitates transfer the savings from savers to investors. Which function of financial market is highlighted in the given statement.
Question : It gives savers the choice of different investments and thus helps to channelise surplus funds into the most productive use.Which function of financial market is highlighted in the given statement?
Question : In the financial market householders are suppliers of funds and business firms represent the demand.Which function of financial market is highlighted in the given statement?
Question : Financial market facilitate easy purchase and sale of financial assets. Which function of financial market is highlighted in the given statement?
Question : It provide liquidity to financial assets so that they can easily converted into cash whenever required.Which function of financial market is highlighted in the given statement?
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