Ask Question
BusinessBusiness
19 April, 03:19

When market price of a security has reached an equilibrium, transaction cost will be?

+2
Answers (1)
  1. 19 April, 04:31
    0
    The correct answer is (A)

    Explanation:

    Equilibrium in a security market shows that buyers and sellers have identified a price at which they can sell and purchase securities. This means that the gap between the bid price and ask price is small. Active trading takes place in a state where a security market reaches equilibrium, in this situation the commission or transaction cost tends to be lower.
Know the Answer?
Not Sure About the Answer?
Get an answer to your question ✅ “When market price of a security has reached an equilibrium, transaction cost will be? ...” in 📙 Business if there is no answer or all answers are wrong, use a search bar and try to find the answer among similar questions.
Search for Other Answers
You Might be Interested in
Graymont Industries purchases Solvate, a chemical compound used in several of its products, from ChemMaster. ChemMaster has just increased the list price of Solvate to $6.50 per gallon.
Answers (1)
For countries that use inflation targeting, the rate of inflation serves as which of the following? a. The main operating target b. The most important intermediate target c. The most important policy instrument d. All of the above
Answers (1)
Which one of the following is not a method used by companies to accelerate cash receipts? Offering discounts for early payment Accepting national credit cards for customer purchases Writing off receivables Selling receivables to a factor
Answers (1)
Wilton Corporation had beginning retained earnings of $724,000 and ending retained earnings of $833,000. During the year, it issued common stock totaling $47,000 and paid dividends of $50,000. What was its net income for the year?
Answers (1)
A Rhode Island state statute imposes fines on tire repair businesses whose pneumatic equipment does not include automatic shut-off switches to protect employees. Bob's Brakes & Tires, Inc., does not have the switches on its equipment.
Answers (1)
New Questions in Business
Bear Co. prepares its statement of cash flows using the indirect method. Bear sold equipment with a carrying value of $500,000 for cash of $400,000.
Answers (1)
Assume the total cost of a college education will be $345,000 when your child enters college in 18 years. You presently have $73,000 to invest.
Answers (2)
Who among the following is a manager with good time-management skills? a. Jim, who completes tasks mostly through his own efforts to ensure consistency b. Lee, who performs at least five activities at a time to increase productivity c.
Answers (1)
Joseph ray just received an inheritance of $35,775 from his great aunt. he plans to invest the funds for retirement. if joseph can earn 4.
Answers (1)
The three types of manufacturing costs in a job order costing system include
Answers (1)
Home » Business » When market price of a security has reached an equilibrium, transaction cost will be?
Sign Up Forgot Password?