A. Define capital markets and give THREE (3) examples of how it can be useful to the company. (10 marks)

B. Explain the concept of behavioral finance and give examples of TWO (2) common biases that may influence an investors decision. (5 marks)

C. Briefly describe derivatives and give TWO (2) examples of how derivatives such as Forwards, Futures and options may be useful to the company. (5 marks)

(Total 20 marks)