Please answer all the questions

QUESTION 1 For each of the following scenario, name the relevant theory and gives prediction on what would happen to the investor according to the theory. a) Jessica found an article while scrolling on her Facebook about a potential investment opportunity from a newly introduced artificial intelligence-based mutual fund. The article claims that the investment will present a very good opportunity for beginner in investment. She decided to invest her money straight away into the investment as she believes she already have enough information about the product. Related theory: What would happen next? (5 marks) b) Rozanne bought 1000 shares of two different stocks at RM30 per share each. Over the next month, one of her shares increase to RM50 while the other plunged to RM15. She needs cash, so she decided to sell off one of her stocks. Rozanne decided to sell her RM50 stock. Related theory: What would happen next? (5 marks) c) In the ongoing extraordinary meeting held by King Kong Holding, it was announced by the President that the company is subject to a hostile takeover by their competitors. The information is confidential and yet to be release to the media. One of the attendees, Andy, works as Director in Marketing and he believes it would be better for him to sell his ownership in the company straightaway before the information is release to the media. Related theory: What would happen next? (5 marks) d) Shane is one of the applicants for the Initial Public Offering (IPO) of GearUp Holding, a company involved in the industry of heavy machine equipment. His interest is based on the facts that in the last five years, every IPO by the firms in the same sector were underprice by at least 8%. Related theory: What would happen next