Question

You would like to sell 290 shares of Xenith Bankshares, Inc. (XBKS). The current ask and bid quotes are $4.50 and $4.46, respectively. You place a limit sell order at $4.49. If the trade executes, how much money do you receive from the buyer?

Answer 1

Answer:

I will receive $1,302

Explanation:

Limit sell order is a term used to place a limit the price to sale a share at a fixed predetermined price of limit. When the price goes to your limit your stock will be sold at the limit price.

If the trade execute I will receives the price of limit sell order against each share.

Money I receive = 290 x $4.49 = $1,302.1