Sale of new common stock in the primary market is regulated by the ________,and a sale of used common on the secondary market is regulated by the ________.
A)SEC; FDIC
B)SEC; SEC
C)FDIC; Federal Reserve
D)Federal Reserve; SEC

Question

Quizplus · Accepted Answer

The sale of new common stock in the primary market is regulated by the Securities and Exchange Commission (SEC), while the sale of used common stock on the secondary market is also regulated by the SEC. Therefore, the correct option is B. The Federal Reserve and FDIC have different roles in regulating financial markets, but they are not directly involved in the regulation of the stock market.

Sale of New Common Stock in the Primary Market Is