If major traders believe the price of a stock should be higher than its current market price,
A) they have an incentive to sell the stock.
B) their actions will result in the information they possess being incorporated into the price of the stock.
C) there is little they can do because government regulation precludes their acting on what they know.
D) they should petition the Securities and Exchange Commission to authorize an adjustment in the price of the stock.
B
Economics
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What is the discounted value of $60,000 to be received after six years, if the ongoing rate of interest is 6% per annum?
A) $41,212.84 B) $42,297.63 C) $44,666.95 D) $51,220.64
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Actual real GDP will be above potential GDP if
A) inflation is rising. B) firms are producing below capacity. C) firms are producing at capacity. D) firms are producing above capacity.
Economics