Which One of the Following Statements Concerning Dealers and Brokers

question 38

Multiple Choice

Which one of the following statements concerning dealers and brokers is correct?

• A)A dealer in market securities arranges sales between buyers and sellers for a fee.
• B)A dealer in market securities pays the asked price when purchasing securities.
• C)A broker in market securities earns income in the form of a bid-ask spread.
• D)A broker does not take ownership of the securities being traded.
• E)A broker deals solely in the primary market.

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Definitions:

Safety Precautions

Measures taken in advance to prevent accidents or harm to people at work, in public places, or during activities.

Stock Clerk

An employee responsible for maintaining the stock levels of products in a retail or warehouse setting, ensuring items are well-organized and available.

Office Supplies

Items and materials used in offices for daily work activities, including pens, paper, and office equipment.

Income Tax

A type of tax that governments impose on income generated by businesses and individuals within their jurisdiction.