When matching orders from the public, a specialist is required to use the ________.

Question

Quizplus · Accepted Answer

In order to match orders from the public, the specialist needs to find the best price at which the orders can be filled. This means that the specialist should use the highest outstanding bid price (which is the highest price that a buyer is willing to pay for a security) and the lowest outstanding ask price (which is the lowest price that a seller is willing to accept for a security). Therefore, the correct choice is D, highest outstanding bid price and lowest outstanding ask price.

When Matching Orders from the Public, a Specialist Is Required