On a Particular Day,a Mining Company Reveals That,due to New

question 28

Multiple Choice

On a particular day,a mining company reveals that,due to new extraction technology,the extractable yield from several of its nickel/lead mines has risen by 15%.Which of the following is the LEAST likely consequence of such an announcement?

• A)The price of the stock would rise due to the pressure to buy
• B)Investors would determine that the estimates of the firm's value on the date prior to the announcement were too high.
• C)Investors would increase their forecast of future cash flows in that firm.
• D)Investors would revise their estimates of the net present value (NPV)of the firm.

---

Definitions:

New Jersey Plan

A proposal at the Constitutional Convention in 1787, advocating for a single legislative house with equal representation for each state, regardless of size or population.

Single-House Legislature

A legislative body with only one chamber or house, as opposed to a bicameral legislature, which has two chambers.

Constitution

The supreme law of the United States, establishing the framework of national government and fundamental rights.

Anti-Federalists

Individuals and political groups that opposed the creation of a stronger U.S. federal government and the ratification of the 1787 Constitution, advocating for states' powers.