Which of the following statements concerning auction markets is (are) correct?
I.Euronext is an auction market.
II.The Foreign Exchange Market is an auction market.
III.All trades involve a dealer in an auction market.
IV.An auction market is called an over-the-counter market.
A)I only.
B)II only.
C)I and III only.
D)II and III only.
E)II and IV only.

Question

Which of the following statements concerning auction markets is (are) correct? 
I.Euronext is an auction market.
II.The Foreign Exchange Market is an auction market.
III.All trades involve a dealer in an auction market.
IV.An auction market is called an over-the-counter market.
A)I only.
B)II only.
C)I and III only.
D)II and III only.
E)II and IV only.

Quizplus · Accepted Answer

I. Euronext operates as an auction market, where buyers and sellers submit bids and offers to find a mutually agreeable price. II. The Foreign Exchange Market operates more like an over-the-counter market with a network of banks and brokers, not as a centralized auction market. III. Auction markets do not necessarily involve a dealer; they match buy and sell orders directly. IV. Auction markets are distinct from over-the-counter markets, which involve direct trading between two parties without a centralized exchange.

Which of the Following Statements Concerning Auction Markets Is (Are)