Last Sale

### What does the term "last sale" refer to? - [ ] The initial trade of the day in a security. - [x] The most recent trade in a particular security. - [ ] The final transaction of the trading session. - [ ] The average selling price of a security. > **Explanation:** The last sale refers to the most recent trade in a specific security, indicating the latest price at which the security was bought and sold. ### How does the last sale differ from the closing sale? - [ ] It represents the highest priced sale of the day. - [ ] It is unrelated to trading activities. - [x] The last sale is the most recent trade, while the closing sale is the final transaction of the session. - [ ] They are the same and used interchangeably. > **Explanation:** The last sale refers to the most recent trade, whereas the closing sale refers to the final transaction of the trading session. ### What is typically not included in the last sale price? - [x] After-hours trading. - [ ] Regular trading hours transactions. - [ ] Exchange-listed securities. - [ ] High-frequency trading. > **Explanation:** The last sale price generally does not include after-hours trading and only reflects transactions during regular trading hours. ### What information does the last sale price provide to traders? - [ ] The projected future price of a security. - [x] The most recent transaction value of a security. - [ ] The highest trade volume of the day. - [ ] The total market value of a company. > **Explanation:** The last sale price gives traders the most recent transaction value, helping them make informed buy and sell decisions. ### Which terminology is used to indicate the final trade of the trading session? - [ ] Last sale - [x] Closing sale - [ ] Market price - [ ] Trade tick > **Explanation:** The final trade of the trading session is known as the closing sale, determining the day’s closing price of the security. ### How can the last sale price impact market sentiment? - [ ] By setting tax rates for trades. - [x] By signaling current market trends and influencing trader decisions. - [ ] By dictating government policies. - [ ] By changing the nature of the financial instrument. > **Explanation:** The last sale price reflects the most recent transaction and current market trends, thereby influencing trader decisions and market sentiment. ### Does the last sale price fluctuate throughout the day? - [x] Yes, it changes with each new trade. - [ ] No, it remains constant. - [ ] Only during after-hours trading. - [ ] Only for specific securities. > **Explanation:** The last sale price fluctuates with each new trade, providing a dynamic view of the market throughout the trading session. ### What is another term related to the selling price within a trading session? - [ ] Bid price - [ ] Ask price - [x] Closing price - [ ] Dividend yield > **Explanation:** The closing price is related to the selling price, marking the final trade price within a trading session. ### Who might use the last sale price information? - [x] Traders and investors - [ ] Exchange administrators only - [ ] Government officials - [ ] Construction companies > **Explanation:** Traders and investors use last sale price information to gauge current market conditions and make informed trading decisions. ### What does a high frequency of last sale changes indicate? - [ ] A stagnant market - [ ] Government intervention - [ ] A low volatility market - [x] High market activity and volatility > **Explanation:** Frequent changes in the last sale price indicate high market activity and volatility, suggesting active trading and rapid price movements.