Which One of the Following Statements Is Correct

question 2

Multiple Choice

Which one of the following statements is correct?

• A)The weekend effect states that security prices tend to rise between Friday afternoon and Monday morning.
• B)The market responds immediately to reflect the information contained in quarterly earnings reports.
• C)Low P/E stocks tend to outperform high P/E stocks on a risk-adjusted basis.
• D)The market fully anticipates the information contained in an earnings announcement prior to the actual announcement.

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