Question
1) The market price of ABC stock is $31 when Jacky places a limit buy order through broker @ $30 for 1,000 shares. At the
1)
The market price of ABC stock is $31 when Jacky places a limit buy order through broker @ $30 for 1,000 shares. At the same time, there are four different sell orders entering into the market:
A sell order @ market price for 1,500 shares
A sell order @ $30.5 for 600 shares
A sell order @ 29.5 for 200 shares
A sell order @ limit 30 stop 29.5 for 600 shares
What is the average cost of Jackys transaction for each share of ABC stock (assume there is no brokers commission in this case)?
| a. | $29.5 | |
| b. | $29.375 | |
| c. | $29.875 | |
| d. | $30 2) |
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Financial Management Core Concepts
Authors: Raymond Brooks
3rd Edition
1292101423, 978-1292101422
