1) Order Types Suppose Dell is currently trading at $65. You think if it reaches $70 ,it will continue to climb, so you want to buy it if and when it gets there. Should you submit a limit order to buy at $70?
2). Order books You find the following order book on a particular stock. The last trade on the stock was at $81.03.
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Buy Orders
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Sell Orders
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Shares
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Price
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Shares
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Price
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350
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$ 81.01
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100
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$ 81.04
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100
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$ 81.00
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600
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$ 81.05
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900
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$ 80.98
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1000
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$ 81.07
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75
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$ 80.96
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700
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$ 81.08
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900
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$ 81.10
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a. If you place a market buy order for 100 shares, at what price will it be filled?
b. If you place a market sell order for 100 shares, at what price will it be filled?
c. Suppose you place a market order to buy 400 shares. At what price will it be filled?