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NEW QUESTION: 1
A. Option D
B. Option B
C. Option A
D. Option C
Answer: C
NEW QUESTION: 2
The following Business Case is constructed properly.
"During 2009 the commercial loan division experienced a 2.7% default rate versus a target of less than .5%
.This costs the bank in excess of $250,000 quarterly."
A. True
B. False
Answer: A
Explanation:
Explanation/Reference:
Explanation:
NEW QUESTION: 3
An autocorrelation test measures the significance of positive or negative correlation in returns over time. Serial correlation refers to the tendency for stock returns to be related to past returns. Positive serial correlation means that positive returns tend to follow positive returns. Researchers found that the correlations were typically not statistically significant in the securities market. This indicates that _____ is not really a pricing anomaly.
A. value effect.
B. overreaction effect.
C. auto effect.
Answer: B
Explanation:
Security returns over time should be independent of one another.
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