SIE practice questioneasyOrder Types
A buy limit order is placed at $30. Where must the stock trade for the order to execute?
- AAny price
- BAt $30 or higher
- COnly at exactly $30
- DAt $30 or lower✓ Correct answer
Explanation
Why D — At $30 or lower
A buy limit order will execute at the limit price or lower. It will not fill at higher prices. 'Exactly $30' is not required, and 'any price' would refer to a market order.
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