Q3 of 23 Page 145

Answer the following questions, each in about eight to ten sentences.

Explain in brief the part played by the stock exchange in Financial matters of business.


The stock exchange/stock market plays a major role in providing a platform for buying and selling of stocks and securities that helps organizations to raise funds. The Stock exchanges are regulated and monitored by the governments. The brokers trade the securities between the stock buyers and sellers.

The companies list their name and the number of shares they are willing to sell in the stock market where the buyers have access to buy any number of available shares. The business concerns are highly benefited as it helps in fundraising for their business needs by selling their stocks.


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3

Answer the following questions, each in about eight to ten sentences.

What are long term public deposits, and what are their advantages to the public?


 3

Answer the following questions, each in about eight to ten sentences.

What do you mean by Money market and how is it different from the capital market?


 4 A

Activity :

Visit a Bank near your place and collect information from the manager, to which business organizations, the bank advances short terms credit and long term credit.


 4

Activity :

Collect information from newspapers about the raise and fall of share value of certain organizations. Also find out why the share value falls in certain cases.