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Corporation and the Financial Market | Primary Market | Secondary Market | CPA Exam BEC

Corporation and the Financial Market | Primary Market | Secondary Market | CPA Exam BEC My website:
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Financial markets function as both primary and secondary markets for debt and equity securities. The term primary market refers to the original sale of securities by governments and corporations. The secondary markets are those in which these securities are bought and sold after the original sale. Equities are, of course, issued solely by corporations. Debt securities are issued by both governments and corporations. In the discussion that follows, we focus on corporate securities only.

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