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One of the key assumptions in any market-based objective is that the market is efficient. If markets are efficient, which of the following reactions should
One of the key assumptions in any market-based objective is that the market is efficient. If markets are efficient, which of the following reactions should you expect to unexpected (large) investment announcements by the firm (investments in new projects/R&D)? d. ii. The market price should always go down when firms make big investment announcements. O b.v. The market price should go up only if the big investments will increase the value of the company. O c. iii. The market price should go up only if the big investments will increase earnings in the next year. O d. i. The market price should always go up when firms make big investment announcements. vi. The market price should not change
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