Suppose the following orders are received by an exchange for Ciscostock:

LimitOrder: Buy 200 shares at $25.20

LimitOrder: Sell 200 shares at $25.90

LimitOrder: Sell 100 shares at $25.65

LimitOrder: Buy 100 shares at $25.45

1. After the market order in (c) clears, what are the new best bid and askprices, and what is the newbid-ask spread forCisco? (Select the best choicebelow.)

A. The best bid priceis: LimitOrder: Sell 100 shares at $25.90; while the best ask priceis: LimitOrder: Buy 100 shares at $25.45. The newbid-ask spread is $0.45.

B. The best bid priceis: LimitOrder: Buy 100 shares at $25.45; while the best ask priceis: LimitOrder: Sell 100 shares at $25.90. The newbid-ask spread is $0.45.

C. The best bid priceis: LimitOrder: Buy 100 shares at $25.45; while the best ask priceis: LimitOrder: Sell 100 shares at $25.65. The newbid-ask spread is $0.20.

D. The best bid priceis: LimitOrder: Buy 200 shares at $25.20; while the best ask priceis: LimitOrder: Sell 100 shares at $25.90. The newbid-ask spread is $0.20.