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Gemiola [76]
3 years ago
5

Dan is a chemist for ABC, a major drug manufacturer. Dan cannot earn excess profits on ABC stock based on the knowledge he has r

elated to his experiments if the financial markets are:_________________.
1. strong form efficient.
2. semistrong form efficient.
3. weak form efficient.
4. aware that the trader is an insider.
5. efficient at any level.
Business
2 answers:
Viefleur [7K]3 years ago
6 0

Answer:

1) strong form efficient.

Explanation:

The efficient market hypothesis states that all the relevant information regarding stocks traded in a market is already included in the price of the stocks.

This investment theory argues that if all the relevant information was public, then even if a person had insider information, it would be useless since everyone should have access to the same information. Of course this model is only theoretical, since in real life information is something very valuable and not everyone has access to it.

Readme [11.4K]3 years ago
5 0

Answer:

2. Semi-Strong Form Efficient

Explanation:

Semi-strong form of market efficiency occurs when all publicly available information is reflected on security prices such that, earning additional return is not a possibility.

Here, Dan can not earn excess profits on ABC stocks because, if the financial market is semi strong form efficient, his experience on technical and fundamental analysis, which is based on how profit is generated and current information respectively, can not help to determine the price movement in the future.

Also, based on research, it is suggested that developed market are semi strong efficient, while developing markets are not semi strong efficient.

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Surrealists emphasized _____________ instead of ____________.
liberstina [14]

The correct answer is irrationalism and rationalism. It is because surrealist are cultural movement in which they are likely to reunite cultures or different races in means of having to have unity, that’s why they are likely to focus more on irrationalism than rationalism.

3 0
3 years ago
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The Starfire Coffee chain was the only coffee-shop chain and meeting place in many American cities for more than 12 years. Peopl
Kamila [148]

Answer: In this particular case we can reason that this scenario represents <em><u>monopolistic-ally competitive market.</u></em>

Both coffee house  are offering a similar product and commodity, with only little differentiation in their design.

i.e. The Starfire Coffee chain provided consumer with peppermint coffee and the experience of sitting in front of a roaring fire, chatting with friends.

whereas Reindeer provided consumer with a mug of hot cocoa and a similar community experience.

5 0
3 years ago
A company currently has 500 items in inventory. The demand for the next 2 months is 900 and 1200 units. Assuming a level product
Alborosie

The ending inventory at the end of the second period is 400 units

What is ending inventory?

Ending inventory means the quantity of stock left unsold at the end of a period.

It is determined as beginning inventory plus production units minus quantity sold or demanded.

Ending inventory first month=500+1000-900

Ending inventory first month=600

Ending inventory second month=600+1000-1200

Ending inventory second month=400

Find in the link below further explanation on ending inventory.

brainly.com/question/14970629

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8 0
2 years ago
The college tuition is $15,000 a year. Instead of going to college, Ron could take a full time job that pays $20,000. His health
andrezito [222]

Answer:

the opportunity cost of attending college for one year is $33,000

Explanation:

The computation of the opportunity cost is shown below:

= Full time job + health and retirement benefits

= $20,000 + $5,000 + $8,000

= $33,000

hence, the opportunity cost of attending college for one year is $33,000

We simply added the above 3 items so that the correct value could come

And ignored the college tuition fees

4 0
3 years ago
Bob is measuring the GDP in 2018 by using the quantity of each final good and service produced in 2018, multiplied by the price
Zina [86]

Answer:

Bob is calculating the nominal gross domestic product GDP for 2018.

Explanation:

The nominal GDP includes the market value of all the final and legal goods and services produced within a country during a certain period (generally a year). Since it uses current market values, it is not adjusted to inflation nor measures real GDP.

5 0
3 years ago
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