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Assume that the limit order book is as shown in the table below. 1) What is the bid-ask spread in cents and basis points of

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Assume that the limit order book is as shown in the table below. 1) What is the bid-ask spread in cents and basis points of the mid price? 2) If you buy 100 shares with a market order, an immediately sell them also with a market order, what is your P&L? 3) A limit order to buy 150 shares at $34.50 arrives in the market. What transactions occur, and what is the resulting bid-ask spread in cents? 4) A limit order buy order for 2000 shares at $34.53 arrives. List all transactions, and determine the bid-ask spread after the order is executed. Orders Shares Price offer 1900 34.56 offer 1700 31.54 offer 1200 34.53 offer 400 34.52 offer 300 34.51 bid 1000 34.49 bid 1100 34.48 bid 1400 34.47 bid 1500 34.46 bid 2200 34.45

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