In the One-Period Valuation Model,an Increase in the Required Return

question 30

Multiple Choice

In the one-period valuation model,an increase in the required return on investments in equity

• A)increases the expected sales price of a stock.
• B)increases the current price of a stock.
• C)reduces the expected sales price of a stock.
• D)reduces the current price of a stock.

---

Definitions:

Monozygotic Twins

Twins that are genetically identical because they were formed from the same zygote splitting into two separate embryos.

Human-Relations Approach

A management strategy focusing on improving interpersonal skills, worker satisfaction, and the dynamic between employees and management to enhance productivity.

Theory Y

A human resources management theory that assumes employees are intrinsically motivated, seek responsibility, and can be creative and innovative, suggesting a participative management style.

Job Performance

The level of effectiveness with which job tasks are carried out by an employee.