D076 Module 2 Question and answers
verified to pass 2025/2026
Corporate Bonds - correct answer ✔A debt instrument that is issued by a corporation in order to raise
capital.
stock - correct answer ✔A share of ownership in a corporation.
money market - correct answer ✔a type of financial market used for short-term assets that are held for
less than one year
capital market - correct answer ✔a type of financial market used for long-term assets that are held for
greater than a year
primary market - correct answer ✔A financial market in which new issues of a security are sold to initial
buyers.
syndicate - correct answer ✔a group of intermediaries that is used to oversee the issuance of stock
and/or bonds
secondary market - correct answer ✔market for reselling financial assets
What is the purpose of financial markets - correct answer ✔to determine the market price of financial
securities based on supply and demand and to provide liquidity
money market - correct answer ✔is for short-term borrowing/ lending
capital market - correct answer ✔is for long-term borrowing/ lending
verified to pass 2025/2026
Corporate Bonds - correct answer ✔A debt instrument that is issued by a corporation in order to raise
capital.
stock - correct answer ✔A share of ownership in a corporation.
money market - correct answer ✔a type of financial market used for short-term assets that are held for
less than one year
capital market - correct answer ✔a type of financial market used for long-term assets that are held for
greater than a year
primary market - correct answer ✔A financial market in which new issues of a security are sold to initial
buyers.
syndicate - correct answer ✔a group of intermediaries that is used to oversee the issuance of stock
and/or bonds
secondary market - correct answer ✔market for reselling financial assets
What is the purpose of financial markets - correct answer ✔to determine the market price of financial
securities based on supply and demand and to provide liquidity
money market - correct answer ✔is for short-term borrowing/ lending
capital market - correct answer ✔is for long-term borrowing/ lending
