Question

Which one of the following parties can sell shares of ABC stock in the primary market?-ABC company-Any corporation, other than the ABC company-Any institutional shareholder-Any private individual shareholder-Only officers and directors of ABC company

Answer 1

Answer:

ABC company

Explanation:

Basically there are two markets i.e primary market and the secondary market.  

The primary market is the market in which the initial public offer is taking place that means the new security is first offered to the public by the company whereas, in the secondary market, the broker or investor is involved while offering the securities.  

In the given situation, the ABC company itself is involved while selling the shares of ABC stock in the primary market