Which of the following is incorrect with respect to limit orders?
A) They can be used only to buy stock.
B) If the current quote does not meet the price cited in the limit order, the trade is not executed.
C) The advantage of the limit order is that the investor makes the trade at the desired price.
D) The disadvantage of the limit order is that the trade might not be executed at all.

Question

Quizplus · Accepted Answer

Limit orders can be used both to buy and to sell stock, not only to buy. They allow an investor to specify the price at which they are willing to buy or sell a stock.

Which of the Following Is Incorrect with Respect to Limit