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The bid-ask spread is the difference between the bid price (the amount of money you get when you sell) and the ask price (the amount of money it costs to buy). Since the ask price is higher than the bid price, it costs you more money to buy the asset than you would receive should you be selling the same asset. This spread is the price (along with a commission) for making the trade.
What else can I help you with?
How is transaction cost?
Transaction cost is the price that you have to pay or that you are likely to receive while carrying out an economic exchange.
What is the international cost of transfer code for this transaction?
The international cost of transfer code for this transaction is a unique code that helps identify and track the fees associated with transferring money across borders.
What does the transaction cost approach implies that an organization should?
select a mechanistic structure to reduce costs
Why are mutual funds popular among investor?
Reduce risk, portfolio diversification, low transaction cost
Your mortgage broker did not explain all the details of your refinance. What can you do It has cost close to 20000?
If your copies of your mortgage documents don't show all the details of your transaction and you don't understand the resulting costs then start by calling your Attorney General's Consumer Division. They should be able to direct you to the proper authority for help.
Explain market imperfections approach and transaction cost approach to Foreign Direct Investment?
market imperfections approach
How do you calculated the cost of transaction for a brokerage firm?
take the toal operating cost and divide it on the number of transaction
How is transaction cost?
Transaction cost is the price that you have to pay or that you are likely to receive while carrying out an economic exchange.
Does bartering have lower transaction costs?
No the transaction cost of bartering is higher because in this various types of cost ared included.
What term is there for a difference between Bid and Ask pricing measured in pips?
Measured in pips, spread is the term used for a difference between bid and ask pricing. This is the cost of an order placement for a trader.
What is a method of approximating cost functions?
Transaction analysis
Is a method of approximating cost functions?
Transaction analysis
Explain cost center in the context of Cost Management Accounting?
Explain cost center in the context of cost accounting
What does the term 'transaction cost' mean in relation to economics?
The transaction cost means the price you pay for a certain item or service. This is the money that is transferred between customer and service provider.
The cost of coordinating the efforts of subunits is known?
The cost of coordinating the efforts of sub-units is known as Transaction Cost
How can the adverse selection problem explain why you are more likely to make a loan to a family member than a stranger?
In my understanding,I think we can reduce risk when we make loan to a family members as well as lowering a transaction cost to him/her.
What is the international cost of transfer code for this transaction?
The international cost of transfer code for this transaction is a unique code that helps identify and track the fees associated with transferring money across borders.
