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Identify the one true statement about the bid-ask quotes

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Reference no: EM132915615

Problem 1: Identify the one true statement about the bid-ask quotes:

(a) The bid-ask spread increases with market liquidity

(b) When dealing with a bank you buy at the bid and sell at the ask

(c) The positive bid-ask spread makes arbitrage across markets easier

(d) You lend money to the bank at the ask interest rate

(e) None of the above

Reference no: EM132915615

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