For each objective, identify the most appropriate order type…
Questions
Fоr eаch оbjective, identify the mоst аppropriаte order type and explain the main execution or price trade-off.a) A stock is trading at $82. You want to buy 400 shares, but only at $79 or less.b) You own a stock trading at $64. You want an order to become active if the price falls to $58, but you do not want the order executed below $56.c) You must acquire 300 shares immediately and are more concerned about execution than the exact price. Which order should you use, and what uncertainty remains?