Which One of the Following Announcements Is Most Apt to Cause

question 31

Multiple Choice

Which one of the following announcements is most apt to cause the price of a firm's stock to increase?

• A)The firm met its quarterly earnings forecast.
• B)An unpopular CEO unexpectedly announced he is resigning effective immediately.
• C)A firm officially confirmed the rumors that it is merging with a competitor.
• D)The firm just lowered its projected earnings per share for next year.
• E)Analysts are expected to lower the firm's credit rating on its debt.

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Definitions:

Lifecycles

The series of changes in the life of an organism, including birth, growth, reproduction, and death.

Nuclear Family Myth

The misconception that a family consisting only of parents and their biological or adopted children is the most common or only valid family structure.

Instant Love Myth

The false belief that love occurs spontaneously and immediately, without the gradual development of emotional attachment and intimacy.

Nonresidential parent

A parent who does not live with their child but may have visitation rights or shared custody arrangements.