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a) Use the extant literature to evaluate the importance of earnings in fundamental analysis. Further, discuss if past earnings are predictive of future earnings. (50%)

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a) Use the extant literature to evaluate the importance of earnings in fundamental analysis. Further, discuss if past earnings are predictive of future earnings. (50%) b) Use the extant literature to critically evaluate the following statement: Investor psychology patterns may influence asset prices and thus prices may deviate from fundamental economic values as a result of actions by momentum investors '. (50%) (Total: 100%)

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