Implied and actual transaction cost in dollars


You find that the bid and ask prices for a stock are $11.75 and $12.50, respectively. If you purchase or sell the stock, you must pay a flat commission of $15. If you buy 200 shares of the stock and immediately sell them,

Required:

Question: What is your total implied and actual transaction cost in dollars?

  • $15
  • $180
  • $165
  • $30

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Finance Basics: Implied and actual transaction cost in dollars
Reference No:- TGS0879792

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