Question:
Read the following statements : Assertion (A) and Reason (R).
Assertion (A) : The investing public gets a safe and fair deal on the stock market.
Reason (R) : The membership of stock exchange is well regulated and its dealings are well defined according to the existing legal framework.
Choose the correct alternative :
Read the following statements : Assertion (A) and Reason (R).
Assertion (A) : The investing public gets a safe and fair deal on the stock market.
Reason (R) : The membership of stock exchange is well regulated and its dealings are well defined according to the existing legal framework.
Choose the correct alternative :
Assertion (A) : The investing public gets a safe and fair deal on the stock market.
Reason (R) : The membership of stock exchange is well regulated and its dealings are well defined according to the existing legal framework.
Choose the correct alternative :
Show Hint
The Stock Exchange operates under the watchful eye of SEBI, which ensures that the rules (Reason) lead to investor safety (Assertion).
Updated On: Mar 29, 2026
- Both Assertion (A) and Reason (R) are correct and Reason (R) is the correct explanation of Assertion (A).
- Both Assertion (A) and Reason (R) are correct, but Reason (R) is not the correct explanation of Assertion (A).
- Both Assertion (A) and Reason (R) are incorrect.
- Assertion (A) is correct, but Reason (R) is incorrect.
Show Solution
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The Correct Option is A
Solution and Explanation
Step 1: Understanding the Concept:
One of the primary functions of a Stock Exchange is "Safety of Transactions." This ensures that investors are not cheated.
Step 2: Detailed Explanation:
The Assertion (A) is true because stock exchanges provide a regulated platform for trading. The Reason (R) explains \textit{why} it is safe: because the legal framework and exchange rules strictly regulate members and their dealings. Since (R) provides the underlying cause for (A), it is the correct explanation.
Step 3: Final Answer:
The correct alternative is (a).
One of the primary functions of a Stock Exchange is "Safety of Transactions." This ensures that investors are not cheated.
Step 2: Detailed Explanation:
The Assertion (A) is true because stock exchanges provide a regulated platform for trading. The Reason (R) explains \textit{why} it is safe: because the legal framework and exchange rules strictly regulate members and their dealings. Since (R) provides the underlying cause for (A), it is the correct explanation.
Step 3: Final Answer:
The correct alternative is (a).
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