Question

You find that the bid and ask prices for a stock are $12.65 and $13.40, respectively....

You find that the bid and ask prices for a stock are $12.65 and $13.40, respectively. If you purchase or sell the stock, you must pay a flat commission of $30. If you buy 300 shares of the stock and immediately sell them, what is your total implied and actual transaction cost in dollars?

A) 60

B) 255

C) 285

D) 30

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