A five-year security was purchased two years ago by an investor who plans to resell it. The investor will sell the security r in the

Question

Quizplus · Accepted Answer

The secondary market is where already issued securities are traded among investors, including those who wish to resell their securities. The primary market is where new securities are first issued and sold. There is no such thing as a deficit or surplus market, so options C and D are incorrect.

A Five-Year Security Was Purchased Two Years Ago by an Investor