Post Utme Lead City University 2025 Commerce Question 27

Practice objective / multiple choice question 27 from the 2025 Post Utme Lead City University Commerce examination.

Post Utme Lead City University 2025 Commerce Objective / Multiple Choice
Question 27 POST_UTME_LEAD_CITY_UNIVERSITY • 2025 • COMMERCE • objective

In the context of Risk Management, what is the primary purpose of a 'stop-loss' order?

Answer Options

Correct Answer A. To limit potential losses by selling a security at a specified price.
B. To lock in profits by buying a security at a specified price.
C. To speculate on the price movement of a security.
D. To diversify a portfolio by investing in different asset classes.
Correct Answer
A
Correct Option:
To limit potential losses by selling a security at a specified price.

About This Question

This is Post Utme Lead City University 2025 Commerce Question 27. It is one of the objective questions from the 2025 Post Utme Lead City University Commerce examination.

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