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
EastWind [94]
3 years ago
8

In an efficient market, prices appear to move randomly becauseA) investors do not process new information correctly.B) only new

information affects stock prices.C) insider trading has an unpredictable effect on stock prices.D) the number of investors who can forecast prices correctly is too small to have any effect.
Business
1 answer:
Gennadij [26K]3 years ago
6 0

Answer:

Correct answer is B.

Explanation:

B is correct. In the Strong-form efficient market hypothesis, all public and private information is reflected in prices and it is impossible for anyone to outperform the market. Only new information affects stock prices, but then, this new information is processed correctly and reflected in the price of an asset so fast before anyone can act on it. As a result, the price action becomes totally unpredictable and prices appear to move randomly.

You might be interested in
In the long run, the price charged by the monopolistically competitive firm attempting to maximize profits: must be less than at
elena-s [515]
<span>must be less than atc</span>
7 0
3 years ago
Sales this year at Donna's Pawn Shop have been high, and based on several factors, Donna projects next year's sales to also be g
nalin [4]

Answer: Contingency planning

Explanation: In simple words, it refers to the planning for an upcoming event that may or may not occur in the future. This planning is usually done by organisation so that they can act accordingly if any problem in business operations occurs in future.

In the given case, even after having positive forecast, Donna is planning for future uncertainty such as unexpected stoppage on sales.

Thus we can conclude that this is the type of contingency planning.

4 0
2 years ago
A Level 2 topic in a Word outline will be used in PowerPoint to create a
yan [13]

The level 2 topic would become the first level bullet item. (OPTION A)

Reason: The level 1 would become the slide titles and the level 2 would become the first level bullet items in the slide and the level 3 would become sub bullets or the second level bullet items and so on

So to conclude, the level 2 would become first level bullet item

8 0
3 years ago
John wants to know how much he should pay for a particular used car. what should john do? he should ask his friend how much he p
SSSSS [86.1K]
What John should do is he should find reliable and relevant information; perhaps look up the information in the Kelley Blue Book.
He can't ask his friend because he may want to buy a different car, so his advice may not be helpful at all. A car dealer may want him to pay more than he should, so that wouldn't be useful either. His net worth will not help him reach his decision on how much he should pay for the particular car. So this Kelley Blue Book, which is used to compare prices for used cars is his best choice.
4 0
3 years ago
Read 2 more answers
A shoe factory has an elasticity of supply of .5 as the price if shoes raises from $50 to $75. if the factory produced 100,000 s
lidiya [134]
E S ( elasticity of supply ) = .5 ( supply is inelastic: E S < 1 )
The formula is:
E S = Δ Q / Δ P * P / Q,
where: Δ Q is the change in quantity, Δ P is change in price, P is initial price and Q is initial quantity.
.5 = Δ Q / 25 * 50 / 100,000
Δ Q = .5 * 25 * 100,000 / 5
Δ Q = 25,000
Quantity at the new price: Q ( new ) = 100,000 + 25,000 = 125,000 
4 0
2 years ago
Read 2 more answers
Other questions:
  • Why might long-term interest rates go down at the same time that the federal reserve pushes short-term rates up?
    12·1 answer
  • Consumer research, product development, communication, distribution, pricing, and service are all most accurately described as c
    8·1 answer
  • Longobardi Corporation bases its predetermined overhead rate on the estimated labor-hours for the upcoming year. At the beginnin
    8·1 answer
  • Describe Fiscal Policy. Consider an economy where government charges 20% of an individual’s income as taxes (i.e. T = 0.2Y). Con
    5·1 answer
  • The following information is available from the current period financial statements:
    11·1 answer
  • Following a phone call addressing a customer problem, what should you do? O Remove the customer from your mailing list. O Report
    15·1 answer
  • Mary knits sweaters for sale. Her fixed costs are $100. When she makes 10 sweaters in one month, Mary must spend $15 on wool. To
    12·1 answer
  • The income effect of a price change: A. produces a backward-bending income-consumption curve. B. is always positive. C. reinforc
    11·1 answer
  • Which manager designs the product in a business​
    11·2 answers
  • a manager has been asked to approve a marketing campaign that promotes food products to children and is concerned that the food
    6·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!