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If a manager has information about the firm that is superior to outside investors (but there are otherwise perfect capital markets) and decides to issue

If a manager has information about the firm that is superior to outside investors (but there are otherwise perfect capital markets) and decides to issue equity what is likely to happen to the stock price when the issuance is announced?

A. it falls

B. It rises

C. It doesn't change

D. None of the above

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