7 Views

Question : Which of the following statement is incorrect?
 

Option 1: Stock exchange provide liquidity and marketablity  of new securities
 

Option 2: Stock exchange provides safety of transaction
 

Option 3: Stock exchange provides sufficient scope within the provision of law for speculative activity 
 

Option 4: None of the above


Team Careers360 20th Jan, 2024
Answer (1)
Team Careers360 21st Jan, 2024

Correct Answer: Stock exchange provide liquidity and marketablity  of new securities


Solution : The basic function of stock exchange is to provide a ready market for sale and purchase of existing securities. The presence of ready market provides liquidity and easy marketability as investments can be converted into cash as and when required.

Hence, option A is correct.

Related Questions

Amity University, Noida Law A...
Apply
700+ Campus placements at top national and global law firms, corporates, and judiciaries
Chandigarh University Admissi...
Apply
Ranked #1 Among all Private Indian Universities in QS Asia Rankings 2025 | Scholarships worth 210 CR
Jindal Global Law School Admi...
Apply
Ranked #1 Law School in India & South Asia by QS- World University Rankings | Merit cum means scholarships | Regular Admissions Deadline: 30th Apr'25
UPES Integrated LLB Admission...
Apply
Ranked #28 amongst Institutions in India by NIRF | Ranked #1 in India for Academic Reputation by QS University Rankings | 16.6 LPA Highest CTC
IILM University Law Admission...
Apply
BA LLB (Hons.) | BBA LLB (Hons.) | LLM | 30 years of Excellence | Merit Scholarships and need based Financial support
Manav Rachna University Law A...
Apply
Admissions open for B.A. LL.B. (Hons.), B.B.A. LL.B. (Hons.) and LL.B Program (3 Years)
View All Application Forms

Download the Careers360 App on your Android phone

Regular exam updates, QnA, Predictors, College Applications & E-books now on your Mobile

150M+ Students
30,000+ Colleges
500+ Exams
1500+ E-books