Question : Statement 1: Financial market is a platform where buyers and sellers engage in the exchange of financial assets.
Statement 2: Financial market is only concerned with the trading of physical goods.
Option 1: Statement 1 is true, and statement 2 is true.
Option 2: Statement 1 is true, but statement 2 is false.
Option 3: Statement 1 is false, and statement 2 is true.
Option 4: Statement 1 is false, and statement 2 is false.
Correct Answer:
Statement 1 is true, but statement 2 is false.
Solution : The correct answer is (b) Statement 1 is true, but statement 2 is false.
Statement 1 is true. A financial market is a platform where buyers and sellers come together to trade financial assets such as stocks, bonds, derivatives, currencies, and other related instruments.
Statement 2 is false. Financial markets are not concerned with the trading of physical goods; rather, they are specifically focused on the exchange of financial assets as mentioned in Statement 1.