Put the following steps of the financial cycle in the correct order: I.Money flows to companies who use it to fund growth through new products.
II)People invest and save their money.
III)Money flows back to savers and investors.

Question

Quizplus · Accepted Answer

The financial cycle typically starts with people investing and saving their money (step II), which allows companies to obtain capital to fund growth and develop new products (step I). As the companies grow and generate revenue, they pay dividends or interest to investors and lenders, which flows back to the savers and investors (step III). Therefore, the correct order is II, I, III, making B the best choice.

Put the Following Steps of the Financial Cycle in the Correct