Research Has Found That Investors Tend to React to Earnings

question 29

Multiple Choice

Research has found that investors tend to react to earnings surprises

• A)slowly,which illustrates conservatism.
• B)immediately and fully on the day the information becomes public.
• C)quickly and efficiently.
• D)in the same manner whether they are positive or negative surprises.
• E)always in a negative manner as they do not like any surprises.

Grasp the criteria for evaluating the credibility and quality of web-based information and the nature of sponsorship.

Understand the nature and utility of different sampling techniques in research.

Acknowledge the role and characteristics of libraries (general, private business, and special) in providing research materials.

Recognize the significance of collaboration tools like wikis in generating and sharing knowledge.

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Definitions:

Principal Debtor

A principal debtor is an individual or entity primarily responsible for fulfilling the obligations of a debt or loan.

Surety

A person, such as a cosigner on a note, who agrees to be primarily responsible for the debt of another.

Guarantor

A person who agrees to satisfy the debt of another (the debtor) only after the principal debtor defaults. A guarantor’s liability is thus secondary.

Short Sale

A sale of real property for an amount that is less than the balance owed on the mortgage loan, usually due to financial hardship.