The Following Is an Outline of Certain Potential Benefits as Well

question 6

Multiple Choice

The following is an outline of certain potential benefits as well as costs associated with the cross-border listings of stocks: (i) the company can expand its potential investor base
(ii) issues involving the disclosure and listing requirements
(iii) creates a secondary market for the company's shares
(iv) volatility spillover from the overseas markets
(v) liquidity
(vi) control of the company by foreigners
(vii) enhances the visibility of the company's name and its products in foreign marketplaces
Which of the following represent all the potential costs of the cross-border listings of stocks?

• A)(i),(ii),and (iii)
• B)(ii),(iv),and (vi)
• C)(i),(iii),(v),and (vii)
• D)(iv),(v),(vi),and (vii)

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Definitions:

Two-tailed Hypothesis

A hypothesis test that considers both directions of an effect, allowing for the possibility of difference in either direction from the null hypothesis.

Critical Values

Specific points on the scale of a test statistic beyond which we reject the null hypothesis, crucial in hypothesis testing to determine the significance of the results.

Critical Value

A threshold in a statistical test that defines the boundary for rejecting the null hypothesis.

Critical Value

A threshold value used in hypothesis testing that defines the boundary between the region where the null hypothesis is rejected and the region where it is not rejected.