CBSE Class 12 Business Studies sample paper 2025-26: question 18
From the official CBSE sample question paper for 2025-26, section A, question 18, for 1 mark. Try it first; the hints and our step-by-step solution are below.
Q18 · 1 mark · MCQCompetency-basedFinancial Markets
The Finance Manager of Elle Pharma Limited, Mr Ashish Manjrekar wants to raise funds through debt or equity to the extent of ₹2 crores. For this purpose, he approaches a well regulated financial market that facilitates the mobilisation of long term capital for companies. Identify the market where Mr Ashish Manjrekar can raise the funds.
- (A)Money market
- (B)Secondary market
- (C)Capital market
- (D)Wholesale debt market
Source: official sample paper from cbseacademic.nic.in (PDF). See it in the full Sample paper 2025-26.
Hints
Open one hint at a time and try again before the next.
Hint 1
Is the requirement short term or long term?
Hint 2
The money market deals in instruments up to one year.
Step-by-step solution
Each step shows the marks it earns, as an examiner would award them. Checked by an independent re-solve from the question paper.
The manager wants long-term funds (debt or equity) worth ₹2 crore.
- 1 mark
The capital market is the regulated market that mobilises long-term funds for companies. Option (C).
Answer: (C) Capital market
Where the marks are
- Long-term funds = capital market (1 mark)
Revise the chapter
- Chapter: Financial Markets (notes, formulas, where marks are lost and every past question)
- Topic: Money Market and Capital Market
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