Explain why the bid-ask spread is a transaction cost.

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Fundamentals of Corporate Finance

ISBN: 978-0132148238

2nd edition

Authors: Berk, DeMarzo, Harford

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Question Posted: Jan 14, 2012 02:00 AM

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Explain why the bid-ask spread is a transaction cost.

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Investors always buy at the ask and sell at the b...View the full answer

Fundamentals of Corporate Finance

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