For a Stock to Be in Equilibrium,two Conditions Are Necessary

question 42

True/False

For a stock to be in equilibrium,two conditions are necessary: (1)The stock's market price must equal its intrinsic value as seen by the marginal investor,and (2)the expected return as seen by the marginal investor must equal his or her required return.

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Definitions:

Hypnogogic Hallucination

Vivid, often bizarre sensory experiences that occur during the transition from wakefulness to sleep, typically not associated with pathological conditions.

Hypnopompic Illusion

Vivid and often bizarre sensory experiences that occur upon waking, between sleeping and full wakefulness.

Consciousness

Being capable of recognizing one's own presence, perceptions, cognitions, environment, and life encounters.

LSD

A powerful hallucinogenic drug known scientifically as Lysergic acid diethylamide, which alters perception, mood, and a range of cognitive processes.