Question

Financial assets are priced via the balance of _____ and _____. question 56 options: assets and liabilities supply and demand dollars and cents revenues and expenses

Answer 1

Financial assets are priced via the balance of supply and demand.

What do the terms supply and demand mean?

• Supply and demand is an economic theory that describes how prices are set in a market in microeconomics.
• In a competitive market, it is hypothesized that all else being equal, the unit price for a specific good or other traded goods, such as labor or liquid financial assets, will fluctuate until it settles at a stage where the quantity demanded (at the current price) will equivalent the quantity supplied (at the current price), resulting in an economical equilibrium for price and quantity transacted.
• It is the theoretical cornerstone of contemporary economics.

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