On a particular day,a mining company reveals that,due to new extraction technology,the extractable yield from several of its nickel/lead mines has risen by 15%.Which of the following is the LEAST likely consequence of such an announcement?
A) The price of the stock would rise due to the pressure to buy
B) Investors would determine that the estimates of the firm's value on the date prior to the announcement were too high.
C) Investors would increase their forecast of future cash flows in that firm.
D) Investors would revise their estimates of the net present value (NPV) of the firm.
Correct Answer:
Verified
Q19: Use the figure for the question(s) below:
Q34: If you value a stock using a
Q41: What are the implications of the efficient
Q42: A study of trading behavior of individual
Q43: Individual investors' tendency to trade too much
Q45: If a manager wishes to raise his
Q45: Individual investors who grow up and live
Q47: Aerelon Airways,a commercial airline,suffers a major crash.As
Q49: Which of the following tendencies of individual
Q116: Individual investors trade conservatively,given the difficulty of
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents