An individual who arranges for buyers and sellers to exchange securities and earns a commission in return is a
A) dealer.
B) auctioneer.
C) broker.
D) underwriter.

Question

Quizplus · Accepted Answer

A broker is an individual who facilitates transactions between buyers and sellers of securities and earns a commission for their services. They do not own the securities themselves, unlike dealers, who buy and sell securities for their own account. Auctioneers are typically utilized in the sale of physical assets, not securities. Underwriters are involved in the initial public offering (IPO) process by purchasing securities from the issuing company and reselling them to investors, but they are not typically involved in the ongoing buying and selling transactions between buyers and sellers.

An Individual Who Arranges for Buyers and Sellers to Exchange