Which of the following statements about the behavior of investors is True?
A) A company with a good strategy will attract investors in spite of any other conditions in the economic environment.
B) Investors may have expectations for short-term profits, long-term profitability, or both when considering companies in which they might invest.
C) Investors are not usually interested in detailed information about a firm's plans before they invest.
D) Financial performance estimates that are provided to investors have no relationship to estimates of demand, revenue, and expenses from the marketing manager.
E) None of the above.

Question

Quizplus · Accepted Answer

Investors may have different expectations when making investment decisions, including short-term profits, long-term profitability, or both. A company's strategy may also be a factor, but it is not the only consideration for investors. Additionally, investors often require detailed information about a firm's plans before making investment decisions. Financial performance estimates provided to investors are typically based on estimates of demand, revenue, and expenses from the marketing manager, among other factors. Therefore, statement B is true while the other statements are false.

Which of the Following Statements About the Behavior of Investors