The answer is<u> "e. low p/e stocks tend to have positive abnormal returns and one can consistently outperform the market by adopting the contrarian approach exemplified by the reversals phenomenon".</u>
The Efficient Market Hypothesis (EMH) is a investment theory whereby share costs mirror all data and predictable alpha age is unimaginable. Hypothetically, neither specialized nor essential examination can create hazard balanced overabundance returns, or alpha, reliably and just inside data can result in outsized hazard balanced returns. As per the EMH, stocks dependably exchange at their reasonable incentive on stock trades, making it inconceivable for speculators to either buy underestimated stocks or offer stocks at swelled costs. Thusly, it ought to be difficult to beat the general market through master stock determination or market timing, and the main way a speculator can get higher returns is by acquiring more hazardous investments.
Answer:
The annual expected loss is $1,250
Explanation:
The annual expected loss can be calculated by multiplying the probability that a risk will occur in a particular year (ARO) by the expected monetary loss every time a risk occurs, (SLE).
ALE=ARO*SLE
In this case,
ARO = 50%
SLE is $2,000 to $3,000. We consider an average so SLE is $2,500
ALE= $2,500 *50%=$1,250
Answer:
Positive reinforcement
Explanation:
Rewards, incentives and bonuses should be a part of every job because it encourages employees to work more hard towards the goal and objectives of an organisation. Positive reinforcement is a reward that is given to employees when they perform or achieve a certain task. It increases job satisfaction and it helps companies to not worry about work performance because employees will put in all the efforts they can to achieve a specific reward.
Answer:
wut is this
Explanation:
financial acc practice ex 1