In the three years prior to a forced departure of management,stock prices,adjusted for market performance,on average will:
A) decline about 20%.
B) decline about 40%.
C) decline about 60%.
D) remain stable.
E) increase about 20%.

Question

Quizplus · Accepted Answer

According to studies and research, in the three years prior to a forced departure of management, stock prices, adjusted for market performance, decline on average by about 40%. This decline could be due to poor management decisions, lack of transparency or communication, and other factors that erode investor confidence in the company.

In the Three Years Prior to a Forced Departure of Management,stock