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Author Question: The bid-asked spread is much lower for currencies that are infrequently traded in order to ... (Read 52 times)

sammy

  • Hero Member
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  • Posts: 818
on: Jul 10, 2018
The bid-asked spread is much lower for currencies that are infrequently traded in order to
  compensate banks for providing the service.
 
  Indicate whether the statement is true or false

Question 2

Dew Drop In, Inc. announces is quarterly dividend will increase from 3.80 to 4.00. After the
  announcement, the price of Dew Drop In, Inc.'s stock drops. The most likely explanation is that
 
  A) investors are irrational.
  B) the stock market is a perfect market.
  C) Dew Drop In, Inc.'s debt ratio decreased.
  D) investors were expecting a larger increase.
Foundations of Finance ¦ Keown, Petty, Martin ¦ 9th Edition
Buy Test-Bank


leahm14

  • Sr. Member
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Reply #1 on: Jul 10, 2018
Answer to Question 1

FALSE

Answer to Question 2

D


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