Which of the Following Statements Is True About Secondary Markets

question 70

Multiple Choice

Which of the following statements is true about secondary markets in the United States?

• A) In terms of market capitalization (total stock value) of the firms listed, the NASDAQ is the largest in the world and the NYSE is the second largest.
• B) NASDAQ is an OTC (over-the-counter) market.
• C) Firms listed on the NASDAQ tend to be, on average, larger in size, and their shares trade more frequently than those traded on NYSE.
• D) In the United States, most secondary market transactions are done over the counter.

---

Definitions:

Pulsating

A periodic variation in magnitude or intensity, often used to describe waveforms or signals.

Peak-to-peak

A measure of the amplitude of a waveform, indicated by the difference between its maximum and minimum values.

RMS

Root Mean Square, a statistical measure of the magnitude of a varying quantity, used especially in electrical engineering to quantify the average voltage or current of alternating current (AC).

Full-wave

A method or device that converts the entire cycle of an AC waveform into a unidirectional flow of current.