Which of the Following Statements Is True with Regard to Financial

question 45

Multiple Choice

Which of the following statements is true with regard to financial markets?

• A)They link the households which save funds and business firms which invest these funds.
• B)They work as an intermediary between the savers and the investors by mobilising funds between them.
• C)They allocate funds available for investment into their most productive investment opportunity.
• D)All of the above

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Definitions:

Cost of Goods Sold

The direct monetary outlays for the creation of goods a company markets, including costs for labor and materials.

Cost of Goods Sold

Costs directly incurred from the process of manufacturing goods that a company sells, including the costs of materials and labor.

Merchandise Sales

The revenue generated from selling goods that a company has purchased or produced for resale.

Gross Margin

The difference between revenue and cost of goods sold, which represents the total profit before deducting operating expenses.