What Is the 'Bid-Ask Spread

question 32

Multiple Choice

What is the 'bid-ask spread'?

• A)the difference in price available for an immediate sale of a share and the immediate purchase of that share
• B)all of the costs and fees that a stock exchange charges in order to process a transaction
• C)the difference in the selling price of a share between different exchanges
• D)the rise or fall in the value of a share between the time it is acquired by an investor and sold by that investor

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Definitions:

Diametral Pitch

A measure of tooth density in gear sets, representing the number of teeth per unit of pitch diameter.

Circular Pitch

In gear design, the distance measured along the pitch circle between corresponding points on adjacent teeth.

Root Diameter

The diameter of a gear or screw measured at the base of the teeth or threads, where the material is the thickest.

Bevel Gears

Gears with intersecting shafts and conically shaped teeth that are used to change the axis of rotation in machinery.