A Previously Well-Respected and Trusted President of a Corporation Is

question 405

Multiple Choice

A previously well-respected and trusted president of a corporation is accused of fraud. At the same time interest rates unexpectedly fall. Which of the above would tend to make the price of the stock rise?

• A)the announcement and the fall in interest rates
• B)the announcement but not the fall in interest rates
• C)the fall in interest rates, but not the announcement
• D)neither the announcement nor the fall in interest rates