True or False:

1. Venture capital firms are prohibited from selling their shares of an IPO form before the expiration date of the lock up period.

T/F

2. One risk of submitting a market order is that the actual execution price might move adversely between the time when the order is submitted and the time the order is received by the market maker.

T/F

3. Market makers must trade at their quoted bid and ask prices for no matter how many shares investors want to trade.

T/F

4. Brokerage commission is the only cost investors bear when they trade.

T/F

5. Investors can bypass brokerage firms when their orders are not sent to a limited order book market like the BATS exchange for execution.

T/F

6. Investment is about stock pricing, therefore, security is the most important aspect of investment.

T/F

7. An investor needs to open a cash account with her brokerage firm in order to be able to but on margin.

T/F