Question

Mr. King has researched a small company, whose stock is selling at $7.50. He wants to buy 1,000 shares but thinks that he might get the stock at $7. To try to buy the stock at the lower price, he should place a
a. sell stop order at $7.25.
b. buy stop order at $7.25.
c. sell limit order at $7.25.
d. buy limit order at $7.25.

Answer

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