Investment

For this week's activity, answer these questions Week 7 Investments Template [DOCX].

1. Describe the differences among the following three types of orders: market, limit, and stop loss. Provide examples of each in your own words.
2. What is a short sale of stock? Provide an example in your own words.
   • Use your textbook to define the term short sale as it pertains to stock.
3. Describe buying on margin. Provide an example in your own words.
4. Why is it illegal to trade on insider information? Provide an example in your own words.

Note: Write responses and definitions in your own words—do not copy and paste from the Internet.