Which One of the Following Statements Regarding Orders Is False

question 10

Multiple Choice

Which one of the following statements regarding orders is false?

• A) A market order is simply an order to buy or sell a stock immediately at the prevailing market price.
• B) A limit sell order is where investors specify prices at which they are willing to sell a security.
• C) If stock ABC is selling at $50,a limit-buy order may instruct the broker to buy the stock if and when the share price falls below $45.
• D) A day order expires at the close of the trading day.
• E) None of these.

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Definitions:

Encoding

The process of getting information into the memory system—for example, by extracting meaning.

Recognition

A measure of memory in which the person identifies items previously learned, as on a multiple-choice test.

Recall

The ability to access information or memories that have been previously encoded and stored in the brain.

Recognition

The identification of something as having been previously seen, heard, known, or experienced; often involves memory retrieval.