An order for immediate purchase or sale at the best possible price is called a:
A) market order
B) limit order
C) stop loss order
D) margin order

Question

Quizplus · Accepted Answer

A market order is an order to immediately buy or sell a security at the best available current market price. It is executed quickly at the prevailing market price and generally involves low transaction costs. Limit orders involve setting a specific price at which to buy or sell, while stop loss orders are used to limit potential losses by setting a specific trigger price at which to sell a security. Margin orders involve borrowing money from a broker to purchase securities. Therefore, a market order is the best choice for immediate purchase or sale at the current market price.

An Order for Immediate Purchase or Sale at the Best