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Based on the bid-ask spreads for Stock X & Y, the NASDAQ is more liquid than the NYSE while Stock Y is more liquid than Stock X. Evaluate the underlined words in italics. True or False? Hint: Calculate spread as a percentage of the midpoint of the bid-ask quotes.
A. True B. False
Use the following exchange quotes to help answer problems 18-19. NYSE NASDAQ Bid Ask Bid Ask Company Y mpom $ 127.88 | $ 128.12|$ 127.70 | $ 128.30
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