Security Markets Are Efficient When Each of the Following Exist

question 51

Multiple Choice

Security markets are efficient when each of the following exist except

• A) there is a continuous market where each successive trade is made at a price close to the previous trade.
• B) the markets can absorb large dollar amounts of stock without destabilizing the price.
• C) prices adjust rapidly to new information.
• D) all of the other conditions must exist.

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Definitions:

Organic

Relating to or derived from living matter; in business, it often refers to growth or processes that occur naturally within the organization.

Technical Skills

The specific knowledge and abilities required to perform tasks related to science, engineering, technology, or other specialized fields.

Market Survey

A research method used to collect information about consumers' needs and preferences in a specific market.

Business Plan

A detailed document outlining the strategy, objectives, financial projections, and operational guidelines for a business to achieve its goals.