What is the missed trade opportunity cost component of the implementation shortfall measure Walker should calculate for the Brucker Industries trade? A. 0.09%. B. 0.12%. C. 0.18%.
The missed trade opportunity cost is calculated using the difference between the price at which the order is cancelled and the original price. It is weighted by the portion of the order that is not filled. It equals (200/1000) x ($20.09-$20.00)/$20.00 = 0.09%
