The Most Important Function of a Financial Market Is To

question 70

Multiple Choice

The most important function of a financial market is to:

• A) provide information about shares.
• B) provide a market for shares.
• C) facilitate the flow of funds between lenders and borrowers.
• D) provide employment for brokers and agents.

---

Definitions:

Statement of Financial Position

A financial statement that shows the assets, liabilities, and equity of a company at a specific point in time.

Statement of Income

A financial report that provides a summary of a company's revenues, expenses, and profits over a specific period, often referred to as the profit and loss statement.

Comprehensive Income

The total non-owner change in equity for a reporting period, including all recognized revenues, expenses, gains, and losses.