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High Order Thinking Skills Why Primary Market is Also Known as New Issue Market? Give One Reason. - Entrepreneurship

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प्रश्न

High Order Thinking Skills

Why primary market is also known as new issue market? Give one reason.

टीपा लिहा

उत्तर

When an entrepreneur decides to issues securities like shares, debentures to the public for the first time for the purpose of obtaining capital funds such issues of securities are even referred as “new money issues”. Primary market is known as new issue market.

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Types of Financial Market - Capital Market
  या प्रश्नात किंवा उत्तरात काही त्रुटी आहे का?
पाठ 6: Resource Mobilization - Section B: Financial Markets [पृष्ठ २४६]

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सीबीएसई Entrepreneurship Class 12
पाठ 6 Resource Mobilization
Section B: Financial Markets | Q 5 | पृष्ठ २४६

संबंधित प्रश्‍न

Answer the following question:
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Identify the reason why the investor could not invest in the Treasury Bill.


Differentiate between 'Primary Market' and 'Secondary Market' on any five basis.


Explain the recent Capital Market reforms in India.


Answer each of these questions in about fifteen words:

State how sources can broadly be classified into two major categories.


Answer each of these questions in about fifteen words:

Which sources provide the supply for long-term funds?


Answer each of these questions in about fifteen words:

Name the sources of demand for capital comes from.


Answer each of these questions in about fifteen words:
Define capital market.


Answer each of these questions in about fifteen words:

What is the need of secondary market?


Answer each of these questions in about one hundred and fifty words:

Explain how capital markets are the most important source of raising finance for an entrepreneur.


Answer each of these questions in about one hundred and fifty words:

Write down the sectors of organized and unorganized market.


Explain the following term/concept.

Secondary market


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Primary market: New issues launched to raise capital:: ______: Old issues through stock market.


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Primary and secondary markets


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Which market directly contributes to capital formation?


Who plays a very vital role as a financial intermediary?


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Identify the place where transaction happens in shares or debentures subsequent to its primary offering.


Which among the following is NOT a method of raising the required capital in the primary market?


In its vital role as a financial intermediary, capital markets satisfies the tastes of the savers and the need of the investors. Evaluate the given statement.


Complete the correlation:

Money market : Short term funds :: ______ : Long term funds.


Complete the correlation:

Money market : Short term funds :: ______ : Long term funds.


Complete the correlation:

Money market : Short-term funds :: ______ : Long-term funds.


Complete the correlation:

Money market : Short term funds :: ______ : Long term funds


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