In an efficient capital market, all security investments will have a(n) ____.

a. NPV of zero

b. positive NPV

c. required rate of return that exceeds the cost of capital

d. required rate of return that is zero

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Capital markets are said to be efficient. This means _____.

a. accurate stock quotes are quickly available to all investors

b. security prices quickly reflect all economically relevant information

c. they process stock trades accurately and quickly

d. the market provides quick access to a firm's financial statements