You find the following order book on a particular stock. The last trade on the stock was
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Question:
You find the following order book on a particular stock. The last trade on the stock was at $66.76.
Buy Orders | Sell Orders | ||||||||||
Shares | Price | Shares | Price | ||||||||
250 | $66.75 | 250 | $66.78 | ||||||||
500 | 66.74 | 650 | 66.79 | ||||||||
900 | 66.73 | 1,000 | 66.81 | ||||||||
275 | 66.71 | 300 | 66.82 | ||||||||
100 | 66.83 | ||||||||||
a. If you place a market buy order for 200 shares, at what price will it be filled? (Round your answer to 2 decimal places.)
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b. If you place a market sell order for 200 shares, at what price will it be filled? (Round your answer to 2 decimal places.)
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c. Suppose you place a market order to buy 500 shares. At what price will it be filled? Choose the appropriate answer.
500 shares at $66.76
250 shares at $66.78 and 250 shares at $66.79
500 shares at $66.83
250 shares at $66.83 and 250 shares at $66.82
Related Book For
Fundamentals of Investments Valuation and Management
ISBN: 978-0077283292
5th edition
Authors: Bradford D. Jordan, Thomas W. Miller
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