Question

Stock exchanges are generally: a. Dealer markets b. Direct search markets c.Auction markets d. Brokered markets

Stock exchanges are generally:

a. Dealer markets

b. Direct search markets

c.Auction markets

d. Brokered markets

Homework Answers

Answer #1

Correct Answer is C
Auction Market - In Auction Market buyer and seller enter bid and ask price at the same time.The price at which buyer is ready to buy and seller is ready to sell the share is match the order is executed. Matching bids and offers.
New york stock Exchange is a example of Auction market.
Dealer Market - NASDAQ is a Example of Dealer market.
Dealer are known as market maker.
Direct Search market - It is a market where buyer and seller each other direclty. Ex - Real estate market

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