When you buy or sell stock,_________________.
A) It is free through a discount broker
B) There is always a transaction cost,which should be calculated in your total return
C) Using a full service broker provides the least total return and is your least expensive alternative
D) You should understand that it is too expensive to make money on small orders

Question

Quizplus · Accepted Answer

There is always a transaction cost associated with buying or selling stock, so it should be calculated in your overall return. Using a full service broker may not provide the best return and is likely to be more expensive than using a discount broker. It is possible to make money on small orders, but the transaction cost may eat into the profits.

When You Buy or Sell Stock,_________________