Which of the Following Is Incorrect with Respect to Limit

question 96

Multiple Choice

Which of the following is incorrect with respect to limit orders?

• A) They can be used only to buy stock.
• B) If the current quote does not meet the price cited in the limit order, the trade is not executed.
• C) The advantage of the limit order is that the investor makes the trade at the desired price.
• D) The disadvantage of the limit order is that the trade might not be executed at all.

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Definitions:

Measurement Error

Refers to the difference between the true value of a measurement and the recorded value due to various factors such as instrument error or human error.

T-tests

Statistical tests used to compare the means of two groups and determine if they are significantly different from each other.

Statistically Different

Being statistically different means that observed differences between groups or variables in a study are unlikely to have occurred by chance, according to statistical analysis. This distinction supports the idea that the observed effects reflect true differences in the populations being studied.

Correlation Coefficients

Statistical measures that quantify the direction and strength of the relationship between two numerical variables.