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Consider the following limit-order book for a share of stock. The last trade in the stock occurred at a price of $68. Limit Buy Orders
Consider the following limit-order book for a share of stock. The last trade in the stock occurred at a price of $68. |
Limit Buy Orders | Limit Sell Orders | ||||||
Price | Shares | Price | Shares | ||||
$ | 67.75 | 500 | $ | 68.25 | 200 | ||
67.50 | 300 | 68.50 | 300 | ||||
67.25 | 500 | 71.75 | 300 | ||||
67.00 | 300 | 75.25 | 100 | ||||
66.50 | 1,000 | ||||||
a. | If a market buy order for 200 shares comes in, at what price will it be filled? (Round your answer to 2 decimal places. Omit the "$" sign in your response.) |
Price | $ |
b. | At what price would the next market buy order be filled? (Round your answer to 2 decimal places.Omit the "$" sign in your response.) |
Price | $ |
c. | If you were a security dealer, would you want to increase or decrease your inventory of this stock? | ||||
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