Home › CBSE Class 12 (Commerce) › Business Studies › Financial Markets › In a primary market sale, who receives the money…
In a primary market sale, who receives the money paid by buyers?
AThe stock exchange
BThe brokerage
CThe previous owner
DThe issuer itself
Answer & Solution
Correct answer: D. The issuer itself
A market is primary only when the proceeds of sale go to the issuer rather than to a previous holder.
Related questions
Federal funds are usually lent for what period?A deposit in U.S. dollars at a bank outside the United States is called what?A developed money market lets banks avoid borrowing from where in an emergency?Banks raise funds for lending by taking what from savers?Which is a division of the capital market?After an IPO, shares traded freely in the open market are known as what?An IPO is typically underwritten by whom?Market capitalization is share price multiplied by what?