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

Question

Quizplus · Accepted Answer

Research shows that in the three years prior to a forced departure of a top manager, stock prices, adjusted for market performance, decline about 40 percent on average. This suggests that such departures have a significant negative impact on company performance and investor confidence.

In the Three Years Prior to a Forced Departure of a Top