You Can Earn Abnormal Returns on Your Investments Via Macro

question 79

Multiple Choice

You can earn abnormal returns on your investments via macro forecasting ________.

• A) if you can forecast the economy at all
• B) if you can forecast the economy as well as the average forecaster
• C) if you can forecast the economy better than the average forecaster
• D) only if you can forecast the economy with perfect accuracy

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Definitions:

Consolidation

Consolidation refers to the process of combining the financial statements of separate business entities, typically parent and subsidiary companies, into a single financial statement.

AASB 3

is an Australian accounting standard that specifies the procedures for accounting and reporting business combinations.

Business Combination

A transaction or other event in which an acquirer gains control over one or more businesses.