In Tests of the Semistrong-Form EMH, It Is Not Necessary

question 16

True/False

In tests of the semistrong-form EMH, it is not necessary to use risk-adjusted rates of return.

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Definitions:

Financing Activities

Activities that result in changes in the size and composition of the contributed equity and borrowings of an entity, often reflected on the cash flow statement.

Statement Of Cash Flows

A financial report that shows the cash inflows and outflows from operating, investing, and financing activities over a period.

Cash Flows

Refers to the net amount of cash and cash equivalents being transferred into and out of a business.

Operating Activities

Activities that relate directly to the business's primary operations, such as sales, purchasing, and payroll.