Which Statement Is Consistent with the Efficient Markets Hypothesis

question 260

Multiple Choice

Which statement is consistent with the efficient markets hypothesis?

• A) The majority of stock mutual funds cannot outperform stock composite indexes.
• B) No mutual funds can outperform stock composite indexes at any time.
• C) No one can earn a return in the stock market.
• D) Technical analysis is the only way to beat the market over time.

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Definitions:

Occipital Bone

The trapezoidal-shaped bone at the lower back part of the skull, forming the back and base of the cranium and containing the foramen magnum.

Parietal Bone

One of two bones forming the sides and roof of the cranium.

Temporal Bone

A pair of bones forming part of the side of the skull, housing structures of the ear and contributing to the cranial cavity's protection.

Ethmoid Bone

A spongy bone located between the eyes that contributes to the medial walls of the orbits, the roof of the nasal cavity, and the nasal septum.