Why Is a Stock Exchange Like NASDAQ Considered a Secondary

question 51

Multiple Choice

Why is a stock exchange like NASDAQ considered a secondary market?

• A)It trades the second-largest volume of shares in the world.
• B)Shares sold on it are exchanged between investors without any involvement of the issuing corporation.
• C)The exchange has rules that attempt to ensure that bid and ask prices do not get too far apart.
• D)NASDAQ is called a secondary market because NYSE is considered a primary market.
• E)Smaller companies are listed on the NASDAQ.