Which of the Following Is Not a Criterion for an Efficient

question 57

Multiple Choice

Which of the following is not a criterion for an efficient market?

• A) Prices adjust rapidly to new information.
• B) Large dollar amounts of securities can be absorbed without price destabilization.
• C) Each successive trade is made at a price close to the previous trade.
• D) Computerized handling of transactions.

Comprehend the role of ethical decision-making in the business context, including the beginning of the ethical decision-making process.

Understand the concept of conflicts of interest and their implication in the workplace.

Recognize the consequences of unethical behavior, such as workplace bullying and its side effects.

Acknowledge the role of business ethics in maintaining a fair and just workplace environment, including affirmative action and hostile work environments.

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Definitions:

Financial Statements

Summarized records of a company's financial activities, presenting its financial position, performance, and cash flows over a certain period.

Face Value

The nominal or original value of a security or financial instrument as stated by the issuer, not including interest or dividends.

Principal

The initial amount of money borrowed or invested, excluding any interest or dividend.

Interest

The fee charged for borrowing money, often expressed as a percentage of the principal amount.