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

1 answer

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.

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