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A market order is transacted at the:

A) Lowest price of the day
B) Best price when the order is entered
C) Limit price
D) Price quoted by the broker
E) Average price of the stock

User Jianping
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1 Answer

3 votes

Final answer:

A market order is transacted at the best price when the order is entered. It prioritizes execution speed over price.

Step-by-step explanation:

A market order is transacted at the best price when the order is entered. It is an order to buy or sell a security immediately at the prevailing market price. Market orders prioritize execution speed over price and are typically filled near the current market price. The price quoted by the broker or the average price of the stock may not accurately reflect the immediate market conditions.

User G Bas
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