Which of the Following Is NOT a Situation Where a Trader

question 36

Multiple Choice

Which of the following is NOT a situation where a trader is able to identify positive NPV trading opportunities in the securities markets?

• A)An investor who has access to information known only to a few investors
• B)An investor who has lower trading costs than other market participants
• C)An investor who gets up really early in the morning so he can be the first to read and act upon the information contained in that day's Wall Street Journal
• D)An investor who has expertise in a highly complicated area for which a company has just released information

---

Definitions:

Financial Statements

Structured reports that detail the financial activities and conditions of a business, including balance sheet, income statement, and cash flow statement.

Balance Sheet Accounts

Accounts displayed on the balance sheet that represent the company's assets, liabilities, and ownership equity at a specific point in time.

Posting

The process of transferring journal entries to the ledger accounts in accounting.

Equality

The balance between the total debits and total credits in an account, ensuring that all financial transactions are properly recorded.