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On 1 July 2006 Maxicorp Holdings Ltd Announced an Increase

Question 3

Multiple Choice

On 1 July 2006 Maxicorp Holdings Ltd announced an increase in EPS for 20% for the financial year 2005/2006.This increase was already predicted by market analysts.What will be the likely impact upon Maxicorp's share price immediately after this announcement?


A) The price will likely fall after the announcement.
B) The price will likely rise after the announcement.
C) The price will likely remain unchanged after the announcement.
D) Any of the above reactions is equally likely.

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