Ask Question
BusinessBusiness
2 December, 23:23

Financial markets allow for all but which one of the following?

a. shift consumption through time from higher-income periods to lower

b. price securities according to their riskiness

c. channel funds from lenders of funds to borrowers of funds

d. allow most participants to routinely earn high returns with low risk

+3
Answers (2)
  1. 2 December, 23:58
    0
    d. allow most participants to routinely earn high returns with low risk

    Explanation:

    In the financial markets there is always an element of risk in transactions. Generally speaking the higher the risk the higher the gain.

    Low risk instruments have low returns on investment. Even for these low risk assets sometes the risk can be high for example if a client has a fixed deposit with a bank, and the bank liquidated. The client may not get his full funds invested back.

    High risk markets like the forex market has one of the highest returns on investment, but high risk can also make an investor lose substantially.
  2. 3 December, 01:32
    0
    Answer:c

    Explanation: financial markets provide the economy with liquidity. Therefore it forms a channel to create capital for businesses as well as the government and in turn allows for the flow of funds between borrowers and lenders.
Know the Answer?
Not Sure About the Answer?
Find an answer to your question ✅ “Financial markets allow for all but which one of the following? a. shift consumption through time from higher-income periods to lower b. ...” in 📘 Business if you're in doubt about the correctness of the answers or there's no answer, then try to use the smart search and find answers to the similar questions.
Search for Other Answers
You Might be Interested in
In the current year, Oriole Corporation donated a painting worth $30,000 to the Texas Art Museum, a qualified public charity. The museum included the painting in its permanent collection.
Answers (1)
The ___ states that more of an item will be purchased at a lower price than at a higher price.
Answers (1)
Suppose lenny is the sole owner of the football team, and has never created a separate business organization for it. how is the team owned? as a partnership. as a limited liability proprietorship. as a sole-proprietorship.
Answers (1)
Do It! Review 1-3 Classify the following items as issuance of stock, dividends, revenues, or expenses. Then indicate whether each item increases or decreases stockholders' equity. 1. Dividends is; it stockholders' equity. 2.
Answers (1)
Explain four different group/categories of people with whom the manager deals/work
Answers (1)
New Questions in Business
Randolf, a wealthy connoisseur of arts, was invited to an art exhibition. He became very interested in one of the showcased paintings and approached the manager to buy the piece.
Answers (2)
To cut costs, a broker-dealer hires some college interns. The firm allows the interns to make calls to potential clients to market investment opportunities in stocks, bonds, and mutual funds. This action would be:
Answers (1)
Galla Inc. needs to determine a price for a new product. Galla desires a 25% markup on the total cost of the product. Galla expects to sell 5,000 units.
Answers (1)
A table that shows annual compound rates of growth between selected periods of time. a. quality of life c. growth triangle b. real GDP d. standard of living
Answers (1)
In a perpetual inventory system: a. Merchandise Inventory is debited every time inventory is purchased b. cost of Goods Sold is debited every time inventory is sold c. a physical inventory is taken at least annually d. All of the above.
Answers (1)
Home » Business » Financial markets allow for all but which one of the following? a. shift consumption through time from higher-income periods to lower b. price securities according to their riskiness c. channel funds from lenders of funds to borrowers of funds d.
Sign Up Forgot Password?