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Ivan
3 years ago
5

The weather report says that a devastating and unexpected freeze is expected to hit Florida tonight during the peak of the citru

s harvest.
In an efficient market, one would expect the price of Florida Orange's stock to:

A. drop immediately.
B. remain unchanged.
C. increase immediately.
D. gradually decline for the next several weeks.
E. gradually increase for the next several weeks.
Business
1 answer:
NeX [460]3 years ago
7 0

Answer:

A. drop immediately.

Explanation:

In an efficient market it is assumed that assets within it will consistently reflect all information that affects that asset. Thearket is very responsive to new information and adjusts accordingly.

If the weather report says that a devastating and unexpected freeze is expected to hit Florida tonight during the peak of the citrus harvest, there will be an immediate drip in the price of Orange's stock.

A later news that is positive will cause a rise in price of the stock.

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Answer:

c. fixed costs per unit

Explanation:

Cos-Volume-Profit ( CVP ) analysis has five components as follows:

  1. Selling price per unit
  2. Variable cost per unit
  3. Total fixed cost
  4. Level of Activity / Volume of activity
  5. Sales mix of the products

Total fixed is used for CVP analysis. Fixed cost per unit is irrelevant so correct answer is c. fixed costs per unit.

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3 years ago
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4 years ago
Bingo Corp. signed a promissory note of $1,000 for one of its vendors in exchange for supplies. $100 cash payment is due upon si
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Answer:

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When assets increase, they are debited - so Supplies account should be debited.

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3 years ago
QUESTION 2 of 10: Three smoothie shops exist in your town with annual sales of $300,000; $344,000; and $412,000. What is the ave
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Softa [21]
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4 years ago
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