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25 May, 01:53

Once stocks are on the market, which best explains how their prices are set?

Prices are controlled by the issuing company.

Prices are set by the financial market.

Prices follow economic trends.

Prices fluctuate on the basis of demand.

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Answers (1)
  1. 25 May, 02:09
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    The answer is Prices fluctuate on the basis of demand.

    It is affected by supply and demand. If a company’s stock is doing well and earning then more people will buy it and this raises the prices. For stocks’ that are not doing well and have low earnings then the prices for such stock are low.
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