Charles Schwab charges a commission of $$25$ for broker$-$assisted trades.

a$.$ Suppose that your total transaction costs for selling the $1,500$ shares of Twitter in December were $$45\mathrm{.}00.$ What was the bid$/$ask spread for Twitter at the time your trade was executed?

b$.$ Given that Twitter is listed on the NYSE, do your total transaction costs for December seem reasonable? Explain why or why not.

d$.$ What are your total round$-$trip transaction costs for both selling and buying the shares, and what could you have done differently to reduce the total costs?

a$.$ The bid$/$ask spread for Twitter, at the time your trade was executed, is $$.($Round to four decimal places.$)$

b$.$ Given that Twitter is listed on the NYSE, do your total transaction costs for December seem reasonable? Explain why or why not.

spread per share$)$ or $($ii$)$ Charles Schwab routed the order to a dealer market like NASDAQ, and a market maker added the shares to her inventory $($at half the spread per share$)."$

This statement is $,.($Select the best answer from the drop$-$down menu.$)$

c$.$ The bid$/$ask spread for Twitter, at the time your trade was executed, is $$.($Round to four decimal places.$)$

d$.$ Your total round$-$trip transaction costs for both selling and buying the shares is $$,($Round to the nearest cent.$)$

What could you have done differently to reduce the total costs? $($Select the best answer below.$)$

A$.$ Costs could have been reduced by placing both trades online with a request for routing to the NYSE where the chance of crossing with other public orders is greatest.

B$.$ Costs could have been reduced by placing both trades with a market maker.