Answer:
Financial markets primarily allow consumers to better time their purchases in situations where they can invest or save money over time to meet future expenses or goals. The situations in which financial markets are most relevant for timing purchases are:
A. Paying for tuition: Financial markets can help consumers save and invest for educational expenses, allowing them to better time their tuition payments.
D. Purchasing a car or furniture: Consumers can use financial markets to save and invest for major purchases like cars or furniture, which can help them time these acquisitions to align with their financial goals.
In both of these situations, financial markets enable individuals to accumulate and grow their funds over time, making it easier to cover significant expenses when needed.
On the other hand, for everyday expenses like groceries (B) or immediate unexpected expenses like repairing a flooded basement (C), the timing of purchases is less influenced by financial markets since these expenses typically require more immediate payments and don't involve long-term savings or investments.