Explanation : Dave’s average trade price is:
$9.93 = (200 * $10.02 +300 * $9.89 +100 * $9.84) / (200 + 300 + 100)
Dave’s sell order first fills with the most aggressively priced buy order,
which is D’s order for 200 shares at $10.02. Dave still has 800 shares for
sale. The next most aggressively priced buy order is C’s order for 300
shares at $9.89. This order is filled. Dave still has 500 shares for sale.
The next most aggressively priced buy order is B’s order for 100 shares
at $9.84. A third trade takes place. Dave still has 400 shares for sale.
The next buy order is A’s order for 900 shares at $9.70. However, this
price is below Dave’s limit price of $9.83. Therefore, no more trade is
Explanation : An order is filled at the best available price as long as this price is lower
than the limit price. In this case, the best available price is the market
ask price = $14.54 * (1 + 0.7%) = $14.64. Since this price is lower than
the limit price of $14.75, the order will be filled at this price.
Explanation : The limit buy order will be filled first with the most aggressively priced
limit sell order and will be followed by filling with the higher priced limit
sell orders that are needed up to and including the limit buy price until the
order is filled.
Average price = [(300 * $20.00) + (200 * $20.15) + (100 * $20.35)] /
600 = $20.11