1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
JulijaS [17]
3 years ago
13

The U.S. Securities and Exchange Commission periodically charges individuals with insider trading and claims those individuals h

ave made unfair profits. Given this, you would be most apt to argue that the markets are less than _____ form efficient.
a. Weak
b. Semi weak
c. Semi strong
d. Strong
e. Perfect
Business
1 answer:
Dmitrij [34]3 years ago
8 0

Answer: The correct answer is "d. Strong".

Explanation: Given this, you would be most apt to argue that the markets are less than <u>STRONG</u> form efficient.

Efficiency in any type of financial market is necessary for proper price formation.

For a market to be efficient, two premises must be given:

Market information must be available at no cost to the investor.

The relevant information is reflected in the share price, bond, currency or interest rate.

And in a theoretically efficient market nobody can constantly get excessive returns in the market.

In cases where privileged information is handled, it is used to obtain excessive profits, therefore it could be said that the markets are less than strong form efficient.

You might be interested in
Assume Merck (MRK) just announced that its next dividend will be $2, paid one year from now (you just missed the prior annual di
Ludmilka [50]

Answer:

$28.57

Explanation:

Current price = D1/(Required return-Growth rate)

D1 (Next dividend) = $2

Required return = 10% = 0.1

Growth rate = 3% = 0.03

Current price = $2/(0.1-0.03)

Current price = $2 / 0.07

Current price = $28.57143

Current price = $28.57

Hence, i will be willing to pay $28.57 for a share of Merck stock.

8 0
4 years ago
Mellon Corporation The data presented below is Mellon Corporation for the year ended December 31, 2015: Sales (100% on credit) $
kaheart [24]

Answer:

The bad debts expense for 2015 would be $ 28,000

Explanation:

The balance of the allowance for doubtful account should be equal to the amount estimated to be uncollectible based on the ageing analysis

Estimated uncollectible account                                                 $ 31,000

Allowance for doubtful accounts prior to adjustment               <u>$   3,000</u>

Bad debts expense for the year to be recorded                    <u> $ 28,000</u>

The accounting entry to record this is as follows:

Bad debts expense                                          Debit               $ 28,000

Allowance for uncollectible accounts            Credit                               $ 28,000

4 0
3 years ago
In macroland potential gdp equals $20 billion and real gdp equals $19.2 billion. macroland has a(n) ______ gap equal to ______ p
Jet001 [13]
Potential GDP = $20 
Real GDP =$19.2  
so an output gap is measured relative to potential output and it is calculated according to the formula [( X - Y ) Ă· Y] Ă—100. In this case, the output gap is [($10 billion - $8 billion) Ă· $8 billion] Ă—100 = 25%.
6 0
3 years ago
What is a sole proprietorship? A partnership? (essential elements) How is each entity taxed? What is a franchise? What is the "c
natita [175]

Answer:

........................

Explanation:

6 0
4 years ago
In the​ past, Peter​ Kelle's tire dealership in Baton Rouge sold an average of 1 comma 000 radials each year. In the past 2​ yea
Lina20 [59]

Answer:

Explanation:

For computing the demand for each sale, first we have to compute the average sale for each season which is show below:

Average sale in fall = (240 + 260) ÷ 2 = 250

Average sale in winter = (340 + 300)  ÷ 2 = 320

Average sale in spring = (140 + 160)  ÷ 2 = 150

Average sale in summer = (320 + 240) ÷ 2 = 280

Demand for next fall = (250  ÷ 1,000) × 1,200 = 300

Demand for next winter = (320  ÷ 1,000) × 1,200 = 384

Demand for next spring = (150  ÷ 1,000) × 1,200 = 180

Demand for next summer = 1,200 - (300+384+180) = 336

6 0
3 years ago
Other questions:
  • The board of directors of Benson Company declared a cash dividend of $1.50 per share on 42,000 shares of common stock on July 15
    14·1 answer
  • Typically, you will receive a very low interest rate on money you deposit in a bank. Interest rates on car loans and business lo
    5·1 answer
  • There are ___ different Bright Futures scholarships.
    15·2 answers
  • Financial statement data at December 31 for Alpine Company are shown below.
    8·1 answer
  • Which one of the following parties can sell shares of ABC stock in the primary market?-ABC company-Any corporation, other than t
    12·1 answer
  • Harmon opens a new restaurant, which he insures for twice its worth. Knowing his business is insured, Harmon becomes careless in
    15·1 answer
  • A company manufactures a product using machine cells. Each cell has a design capacity of 250 units per day and an effective capa
    7·1 answer
  • Which of the main components of money management involves creating a plan for spending and saving during particular time periods
    12·1 answer
  • Ivanhoe Diesel owns the Fredonia Barber Shop. He employs 5 barbers and pays each a base rate of $1,380 per month. One of the bar
    9·1 answer
  • On May 27, Hydro Clothing Inc. reacquired 65,000 shares of its common stock at $6 per share. On August 3, Hydro Clothing sold 48
    12·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!