An auction is a public sale. The selling price of an item is determined by bids, and the item is sold to the highest bidder. A potential buyer participates in auction by placing a bid on an item that a seller has listed. The person who has offered the highest bid at close of auction wins the right to purchase the item at that price.
Let's review some terms and phrases used in auctions:
|Bid: ||A bid is an offer of a specific amount of money on an item for sale. The bidder competes with other potential buyers, keeping in mind that the buyer with the highest bid must complete the purchase with the seller. In other words, your bid tells other buyers, "I want to buy this item at this price!" |
|Win: ||You win an auction by placing the highest bid and obtaining the item on auction. The person with the high bid is the winner of the auction. |