The Weak Form of the EMH States That ________ Must

question 34

Multiple Choice

The weak form of the EMH states that ________ must be reflected in the current stock price.

• A) all past information, including security price and volume data
• B) all publicly available information
• C) all information, including inside information
• D) all costless information

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Definitions:

Marginal Cost

The increase in cost resulting from the production of one additional unit of a good.

Variable Cost

Costs that change in proportion to the level of activity or volume of production in a company.

AVC

Average Variable Cost, which refers to the total variable cost per unit of output in a business, where variable costs change with the level of production.

MC

Marginal Cost, the cost of producing one additional unit of a product or service.