"Buy Low and Sell High Is Advice Given to People

question 33

Essay

"Buy low and sell high is advice given to people who want to make a profit by buying and selling shares of stock.Arbitrage is defined as buying a product in one market at a low price and reselling it in another market at a high price.Therefore, when stock brokers buy and sell stocks to earn a profit they are engaging in arbitrage." Evaluate this statement; state whether it is true or false and explain your answer.

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Definitions:

Heart Attacks

A medical condition caused by the blockage of blood flow to the heart muscle, often resulting in chest pain and potentially fatal if not treated promptly.

Stroke

A medical emergency involving the interruption of blood supply to a part of the brain, causing cell damage and possibly resulting in loss of functions.

Carbohydrates

Organic substances such as sugars, starches, and fibers, which are vital energy sources in our diet.

Inorganic Compounds

Chemical substances that do not contain both carbon and hydrogen, exhibiting a wide range of physical and chemical properties.