Which statement regarding cancellation of transactions is correct?

The statement that the management board of the exchange determines mistrade ranges is accurate because it reflects the governance structure and operational protocols of the exchange. Trade cancellations, or the conditions under which trades can be reversed, are typically set by the management board, which oversees the adherence to market integrity and fairness. This board establishes guidelines that define what constitutes a mistrade and sets the parameters within which transactions can be canceled, including any price ranges that may apply.

Understanding this governance is crucial for traders, as it helps clarify under what scenarios they can seek to reverse trades without violating exchange rules. Each exchange has its regulatory framework, and the management board's decision-making is integral to maintaining trust and order in trading activities.

Other options may present conditions or scenarios related to trade cancellation, but they do not encompass the foundational aspect of how those conditions are defined and enforced by the exchange's leadership.