It is true of the Australian study by Brown which replicated Ball and Brown's original 1968 study that:
i.There was more of a price adjustment in the announcement month than in the original study
ii.There was less of a price adjustment in the announcement month than in the original study
iii.In Australia annual reports are a more important source of information about companies than they are in the United States
iv.In Australia annual reports are a less important source of information about companies than they are in the United States

Question

Quizplus · Accepted Answer

The Australian study by Brown, which replicated Ball and Brown's original 1968 study, found that there was more of a price adjustment in the announcement month compared to the original study. This suggests that the market reacted more strongly to new information. Additionally, it was observed that in Australia, annual reports are a more important source of information about companies than they are in the United States, indicating differences in how financial information is valued and utilized in investment decisions between the two countries.

It Is True of the Australian Study by Brown Which