_________ is a market for lending & borrowing of short term funds.

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Solution

(a) Money market
(b) Primary market
(c) Capital market
(d) All of the above

Answer (a) Money market

Explanation: The money market fundamentally is concerned with a segment of the financial market where financial instruments with high liquidity and transient developments are exchanged. It is utilised by individuals as a method of acquiring and lending for the present moment or on a short-term basis. Some of the examples of money markets are auto loans, trade bills, credit card receivables, etc.

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Similar questions

''Money Market is essentially a Market for short term funds''. Discuss.

A Treasury Bill is basically

(a) An instrument to borrow short-term funds

(b) An instrument to borrow long-term funds

(d) None of the above

___ market is the market for short-term fund, i.e. funds for a period of up to one year only.

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