Evidence on stock prices finds that the sudden death of a chief executive officer causes stock prices to fall and the sudden death of an active founding chief executive officer causes stock price to rise.This contrary evidence happens because:
A) markets are inefficient and unsure of the real value of the events.
B) death is inevitable and market prices are random.
C) the value of the founding executive was a negative to the firm.
D) things simply happen.
E) None of the above.
Correct Answer:
Verified
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