If Broker Will Buy a Share of Stock from You

question 59

True/False

If broker will buy a share of stock from you at $3.85 and sell it to you at $3.87, the ask price would be $3.85.

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Definitions:

Direct Materials

Raw materials that are directly traceable to the manufacturing of a product and are significant in cost.

Sales Commissions

Fees paid to salespeople or brokers for facilitating or closing sales, usually calculated as a percentage of the sales value.

Direct Labor

The wages or costs associated with employees who directly contribute to the manufacture of a product or delivery of a service.

Direct Materials

Materials directly linked to the production of a product, representing a major part of the manufacturing cost.