Final Answer:
Common stock is typically sold in the secondary market in round lots of 100 shares. Option B is the answer.
Step-by-step explanation:
In financial markets, a round lot refers to a standard trading unit, and for common stock in the secondary market, this unit is commonly 100 shares. When investors buy or sell common stock, they often do so in multiples of 100 shares, constituting a round lot. This practice simplifies trading and is considered the standard trading size.
While there are exceptions, and smaller investors may engage in odd lots (less than 100 shares), institutional investors and larger traders typically transact in round lots of 100 shares. Therefore, the correct answer is option B, indicating that common stock is sold in the secondary market in round lots of 100 shares.
Option B is the answer.