During a bear market a stock prices as a whole are

116) During a bear market
A) stock prices as a whole are rising.
B) corporations are being funded through secondary market transactions.
C) stock prices as a whole are falling.
D) both stock prices as a whole are falling and speculators are avoiding short selling.
E) speculators are avoiding short selling.
Answer: C
Diff: 2 Type: MC Page Ref: 380
Skill: Knowledge
Objective: 15.6
117) Marco is a bullish investor, but the stock market is currently bearish. What is Marco most

likely to do?
B
Diff: 2 Type: MC Page Ref: 380
Skill: Knowledge
Objective: 15.6
118) If you purchase a round lot of stock quoted in the Globe and Mail at 10.75, the total price
you would pay for the stock is ________ plus commission.
D
Diff: 2 Type: MC Page Ref: 380
Skill: Comprehension
Objective: 15.6
119) A(n) ________ is an order to a stock broker to buy or sell a security at the prevailing price
at the time the order is placed.
D
Diff: 1 Type: MC Page Ref: 380
Skill: Knowledge
Objective: 15.6

120) A ________ is the right to buy a particular stock at a certain price until a particular date,
while a ________ gives the owner the right to sell a particular stock at a specified price until a
particular date.
A) put option; call option
B) limit order; sales order
C) call option; put option
D) sales order; limit order
E) market purchase order; market sales order
Answer: C
Diff: 2 Type: MC Page Ref: 380
Skill: Knowledge
Objective: 15.6
121) When an investor gets involved in a short sale, what is that investor hoping for in the
movement of the price of the stock?
A
Diff: 3 Type: MC Page Ref: 382
Skill: Comprehension
Objective: 15.6
122) A(n) ________ is an order to a stock broker to buy a security only if its price is equal to or
less than a specified amount.
C
Diff: 1 Type: MC Page Ref: 380
Skill: Knowledge
Objective: 15.6