Why Is the Ask Price Higher Than the Bid Price

question 59

Multiple Choice

Why is the ask price higher than the bid price?

• A)It represents the gain a market maker achieves.
• B)It represents the gain the stock seller achieves.
• C)It represents the gain the stock buy achieves.
• D)It represents the gain all participants will achieve.

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Definitions:

H.M.'s Brain

Refers to the study of a patient, Henry Molaison, whose case provided extensive insights into human memory and the functioning of the hippocampus after undergoing brain surgery.

Retroactive Interference

The phenomenon where newly learned information interferes with the retrieval of previously learned information.

Memory Trace Decay

The theory that memory fades and disappears over time if not accessed and utilized, due to the biological processes of the brain.

Serial List

A method for organizing or presenting items in a specific sequential order, often used in memory and cognitive tests.