What Price Will a Noncompetitive Bidder Pay for a Security

question 34

Multiple Choice

What price will a noncompetitive bidder pay for a security being purchased through a U.S. Treasury auction?

• A)highest competitive bid price
• B)highest noncompetitive bid price
• C)stop-out bid price
• D)average of all bid prices
• E)lowest competitive bid price

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Definitions:

False Pretenses

Obtaining property or money from another person through fraudulent representations or lies.

Insider Trading

Insider trading involves buying or selling a publicly-traded company's stock by someone who has non-public, material information about that stock.

Tipped Information

Insider information that is passed from one person to another, which can be illegal in financial markets.

Larceny

The criminal act of taking someone else's property without permission with the intent to permanently deprive them of it.