CONNECT WITH LEARNSMART FOR BODIE: ESSE
CONNECT WITH LEARNSMART FOR BODIE: ESSE
11th Edition
ISBN: 9781265046392
Author: Bodie
Publisher: MCG
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Chapter 3, Problem 2WM

Choose two of the firms listed. Assume that you want to buy 200 shares of LLY stock using a market order. If the order is filled at $82 per share, how much will the commission be for the two firms if you place an online order?

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You would like to sell 200 shares of Xenith Bankshares, Inc. (XBKS). The current ask and bid quotes are $4.32 and $4.28, respectively. You place a limit sell order at $4.31.If the trade executes, how much money do you receive from the buyer? (Round your answer to 2 decimal places.)
You would like to sell 220 shares of Echo Global Logistics, Inc. (ECHO). The current ask and bid quotes are $15.44 and $15.39, respectively. You place a limit sell order at $15.43.If the trade executes, how much money do you receive from the buyer?
NEED ALL QUEST.... You would like to purchase one ClassA share of Berkshire Hathaway through your TD Ameritrade brokerage account. TD Ameritrade advertises a $5 commission for trades using their​ phone-based interactive voice response system. You call and learn that the bid price is ​$285,705.59 and the asking price is $285,909.62​ , and you submit your order for one share.   a. The current​ bid/ask spread for Berkshire Hathaway Class A shares is ​$________ ​(Round to the nearest​ cent.)   b. If TD Ameritrade routes your buy order to the​ NYSE, the potential minimum for your total transaction costs is $________ ​(Round to the nearest​ dollar.)   c. If TD Ameritradevroutes your buy order to​ NASDAQ, the potential maximum for your total transaction costs is $________ ​(Round to the nearest​ cent.)   d. Regardless of how your trade is​ executed, based on the​ bid/ask spread, the market value of your trade is $________ ​(Round to the nearest​ cent.)
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