Which of the Following Is NOT an Assumption of Market

question 34

Multiple Choice

Which of the following is NOT an assumption of market efficiency?

• A) Instruments denominated in other currencies are perfect substitutes for one another.
• B) Transaction costs are low or nonexistent.
• C) All relevant information is quickly reflected in both spot and forward exchange markets.
• D) All of the above are true.

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Definitions:

Banded Columns

Alternating column colors in a table or spreadsheet to improve readability.

DLOOKUP Function

A database function in Microsoft Access that searches for a value in a table or query and returns the corresponding value from another field in the same record.

TRANSPOSE

A function in spreadsheets that converts rows to columns and vice versa, reorienting data in a table.

Months

Units of time, typically used in calendars, that approximate the natural period related to the motion of the Moon; typically consisting of 30 or 31 days, except February.