Question

ALFA Electronics has been trading around 70. A customer tells his registered representative that if 1,000 shares of the stock can be purchased in a single attempt, the customer will take it. If not, the customer is not interested and the order should be canceled immediately. How should the representative enter this order

Answer 1

Answer: A)1,000 ALFA FOK at 70

Step-by-step explanation:

From the question, we are informed that ALFA Electronics has been trading around 70 and that a customer tells his registered representative that if 1,000 shares of the stock can be bought in a single attempt, the customer will take it and if not, the customer is not interested and the order should be canceled immediately.

Tge representative should enter this order as 1000 ALFA FOK at 70. It should be noted that a fill-or-kill (FOK) order showss that a customer wants an order to be filled at once in its entirety or the order will have to be canceled.