The fact that a company's stock price does not change when earnings are announced indicates that
A) earnings were the same (per share) as in the previous quarter.
B) the securities markets are rational and efficient.
C) the information contained in the earnings release was fully anticipated by investors.
D) earnings deviate from investors' expectations.
Correct Answer:
Verified
Q116: As transitory or value-irrelevant components become a
Q117: Q118: According to the abnormal earnings approach of Q119: Which one of the following is an Q120: As transitory components become a more important Q122: In the context of determining fair value,the Q123: Financial statement forecasts (or projections)are Q124: Preparing comprehensive financial statement forecasts involves six Q125: Operating cash flows are typically negative for Q126: Prior to the announcement of bad news
A)one of the
A)established
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