A Trader Who Wants to Predict Short-Term Movements in Stock

question 7

Multiple Choice

A trader who wants to predict short-term movements in stock prices is likely to use analytics.

• A) predictive
• B) descriptive
• C) normative
• D) prescriptive

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Definitions:

Future Dollars

Money that is adjusted for its future value, accounting for inflation or interest earned over time.

Expected Rate of Return

The anticipated amount of profit or loss an investor expects to achieve on an investment.

Interest Rate

The Interest Rate is the percentage at which interest is paid by a borrower for the use of money that they borrow from a lender.

Interest Rate

The proportion of a loan that is charged as interest to the borrower, typically expressed as an annual percentage of the loan outstanding.