Solved

Which of the Following Statements Is FALSE

Question 34

Multiple Choice

Which of the following statements is FALSE?


A) On NASDAQ,stocks can and do have multiple market makers who compete with each other.Each market maker must post bid and ask prices in the NASDAQ network where they can be viewed by all participants.
B) Bid prices exceed ask prices.
C) Because customers always buy at the ask and sell at the bid,the bid-ask spread is a transaction cost investors have to pay in order to trade.
D) Prior to 2005,market makers (known on the NYSE as specialists) matched buyers and sellers on the floor of the NYSE.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Unlock this Answer For Free Now!

View this answer and more for free by performing one of the following actions

qr-code

Scan the QR code to install the App and get 2 free unlocks

upload documents

Unlock quizzes for free by uploading documents