Stage 5 Testing 2:True-False Statements
In this part of the test,you will read ten statements about the information presented in the lecture.First read the statement carefully.Then check your notes to decide whether the statement is true or false.If it is true,write a T in the blank space before the statement; if it is false,write an F in the blank.
1._______The Amsterdam Stock Exchange was set up to facilitate the trading of government bonds to finance the operations of the Dutch East India Company.
2._______Trading on a stock market is similar to eating in a fast-food restaurant in that you have to enter your order and wait to be served.
3._______Investors place market orders when they want the transaction to take place as soon as possible.
4._______There are more limit orders than market orders on the stock exchanges because investors focus more on getting a better price.
5._______A limit order can only be filled if the stock’s market price reaches the limit.
6._______On the NASDAQ dealers trade various securities for both their own accounts and the accounts of their clients via computer networks.
7._______The Tokyo Stock Exchange is an OTC market because all the Japanese dealers execute trades electronically.
8._______When you enter a bid electronically but no one accepts your bid,then you have to wait for a seller.
9._______The lecturer implies that a market maker takes the responsibility to ensure market continuity.
10._______Dealers at the New York Stock Exchange do not profit from acting as specialists.