Could someone pls answer this? Jill, Mary and Joanne each own 400 common shares
ID: 2500446 • Letter: C
Question
Could someone pls answer this?
Jill, Mary and Joanne each own 400 common shares of Canadian Tire Corporation and have informed the Toronto Stock Exchange of their intentions to sell. Jill is willing to sell all of them at $95.00 per share. Mary is willing to sell 200 shares at $95.00 per share but wants $96.00 for the other 200. Joanne will not let go of her shares unless she gets $97.00 at which point she is willing to sell all of her 400. John has no shares at the moment but wants to buy 300 shares of Canadian Tire Corporation. He is only willing to pay $93.00 per share. He puts in a limit order for the purchase. Michael wants to buy 700 shares of Canadian Tire Corporation and puts a market order into the Toronto Stock Exchange to buy 700 shares. How many shares do Jill, Mary, Joanne, John and Michael own at the end of all transactions?Explanation / Answer
Since Michael entered the market order price, he will have 700 stocks bought at the best price. So first of all Michael will get stocks bought from Jill as he has the lowest price entered for sale. Thereafter, he will get stocks from Marry. John will not be able to buy any stock as he has entered a limit order so he will have the stocks only if someone ready to sell at $93 per share which is not happening here.
Therefore number of stocks owned by each one will be:
Jill = 400-400 = 0
Mary = 400-300 = 100
Joanne = 400-0 = 400
John = 0+0 = 0
Michael = 0+700 = 700
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