Which one of the following combinations best distinguishes between the functions of the money market and the capital market?
Money market: The market where firms issue new shares to raise long-term equity.
Capital market: The market where foreign currency contracts are settled at a future date.
Money market: The market where high-street banks offer long-term mortgage products.
Capital market: The market where short-term government debt is converted into retail deposits.
Money market: The market for trading short-term liquid debt instruments such as Treasury bills.
Capital market: The market for issuing and trading long-term financial assets like shares and corporate bonds.
Money market: The market where the central bank conducts all quantitative easing operations.
Capital market: The market where commercial banks trade foreign exchange for immediate settlement.
