Market Ffficienrv

a$.$ Refer to the attached figure and assume the market is semistrong$-$form efficient. What was the price of SPB$\text{'}$s stock at $9$:$30$ a$.$m$.?$

The price of SPB$\text{'}$s stock at $9$:$30$ a$.$m$.$ was $

$($Round the final answer to the nearest cent. Round all intermediate values to six decimal places as needed.$)$

information is incorporated very quickly into stock prices, is often

called semistrong$-$form market efficiency. The term "semistrong" indicates that

it is not as complete as strong$-$form market efficiency, where prices

immediately incorporate all information, including private information known,

for example, only to managers. Finally, the term "weak$-$form market efficiency"

means that only the history of past prices is already reflected in the stock price.

It helps to think of the different forms of market efficiency as meaning that

prices incorporate a steadily increasing set of information and that each of

these forms encompasses all the lower forms. For example, since the history

of past prices is public information, semistrong$-$form efficiency

encompasses weak$-$form. The diagram illustrates the idea. In the diagram, the

information sets of weak$-$form, semistrong$-$form, and strong$-$form efficiency are

represented by the blue, green, and yellow circles, respectively.