SIE practice questioneasyOrder Types
If an investor wants to set a minimum price that they will accept for selling shares, which order should they use?
- AStop order
- BMarket order
- CLimit order✓ Correct answer
- DAll-or-none order
Explanation
Why C — Limit order
A limit order specifies the minimum price for selling (or maximum for buying). Market orders execute at current price, stop orders trigger sales at the stop price, and all-or-none ensures full quantity not minimum price.
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