If the Weak Form of Market Efficiency Holds Then

question 37

Multiple Choice

If the weak form of market efficiency holds then:

• A)fundamental analysis is useless.
• B)stock prices reflect insider trading.
• C)stock price changes follow a random walk.
• D)all of the above.

Comprehend the role of fixed and variable costs in determining the pricing of products and services.

Recognize the implications of different pricing methods on profit margins and profitability.

Evaluate the suitability of specific pricing strategies for different types of products and market conditions.

Explain the concept of target return on investment as it relates to pricing decisions.