Which one of the following prices will an investor pay to purchase shares of stock that are currently outstanding?

Question

Quizplus · Accepted Answer

An investor will pay the ask price to purchase shares of stock that are currently outstanding. The ask price is the lowest price at which a seller is willing to sell their shares. The bid price, on the other hand, is the highest price a buyer is willing to pay for the shares. The issue price refers to the price at which shares are originally sold during an initial public offering (IPO). Options are a separate type of financial instrument that give the holder the right, but not the obligation, to buy or sell shares at a certain price. The primary market refers to the market in which new securities are issued.

Which One of the Following Prices Will an Investor Pay