Question

Which of these displays the function of the financial market?(1 point)
Responses

interest paid on a saving account
interest paid on a saving account

Providing bank loans
Providing bank loans

Saved funds are transferred to borrowers via the sale of newly-issued securities. Companies receive money from selling stocks to investors.
Saved funds are transferred to borrowers via the sale of newly-issued securities. Companies receive money from selling stocks to investors.

Receiving bank loans
Receiving bank loans

Answer 1

The response that best displays the function of the financial market is:

**Saved funds are transferred to borrowers via the sale of newly-issued securities. Companies receive money from selling stocks to investors.**

This response highlights the role of financial markets in facilitating the transfer of funds from savers (investors) to borrowers (companies and other entities) through mechanisms like issuing securities and stocks.