1.

Write any three differences between money market and capital market.

Answer»
FeaturesMoney MarketCapital Market
Duration of FundsIt is a market for short-term loanable funds for a period of not exceeding one year.It is a market for long-term funds exceeding period of one year.
Supply of FundsThis market supplies funds for financing current business operations working capital requirements of industries and short period requirements of the government.This market supplies funds for financing the fixed capital requirements of trade and commerce as well as the long-term requirements of the government 
Deals with InstrumentsIt deals with instruments like commercial bills (bill of exchange, treasury bill, commercial papers etc.).It deals with instruments like shares, debentures, Government bonds, etc.,



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