This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: Why is the stock price of a company an indication of the performance of that company's senior managers? (Read 113 times)

notis

  • Hero Member
  • *****
  • Posts: 596
on: Jul 9, 2019
Why is the stock price of a company an indication of the performance of that company's senior managers?
◦ Investors who can see that a company is well-run will hold on to their shares, even if the company faces temporary set-backs, since they know that the stock price will likely rise again.
◦ In general, people want to invest in a well-managed corporation, which will drive up the price of shares.
◦ Larger companies tend to be better run and so have higher stock prices.
◦ Well-run companies are invariably highly profitable, which leads to a higher share price.
Fundamentals of Corporate Finance ¦ Berk, DeMarzo, Harford ¦ 2nd Edition
Buy Test-Bank


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by notis on Jul 9, 2019

micaelaswann

  • Sr. Member
  • ****
  • Posts: 314
Reply #1 on: Jul 9, 2019
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
Answer Preview
Only 39% of students answer this correctly


notis

  • Member
  • Posts: 596
Reply 2 on: Jul 9, 2019
Excellent

TheNamesImani

  • Member
  • Posts: 334
Reply 3 on: Yesterday
Wow, this really help

« previous next »
 

Did you know?

Increased intake of vitamin D has been shown to reduce fractures up to 25% in older people.

Did you know?

When blood is exposed to air, it clots. Heparin allows the blood to come in direct contact with air without clotting.

Did you know?

Acute bronchitis is an inflammation of the breathing tubes (bronchi), which causes increased mucus production and other changes. It is usually caused by bacteria or viruses, can be serious in people who have pulmonary or cardiac diseases, and can lead to pneumonia.

Did you know?

Approximately 25% of all reported medication errors result from some kind of name confusion.

Did you know?

Elderly adults are at greatest risk of stroke and myocardial infarction and have the most to gain from prophylaxis. Patients ages 60 to 80 years with blood pressures above 160/90 mm Hg should benefit from antihypertensive treatment.

An individual's performance can be limited by environmental conditions, such as temperature. Ac An individual's performance can be limited by environmental conditions, such as temperature. Ac
International Performance in Reading, Math, and Science, Eight Grade International Performance in Reading, Math, and Science, Eight Grade
The Stillwater Mining Company The Stillwater Mining Company
White steam is usually an indication of a blown (defective) cylinder head gasket that allows engine ... White steam is usually an indication of a blown (defective) cylinder head gasket that allows engine ...
Stock Market Question Stock Market Question
A car wash reduced the price of a basic wash as a promotion and test of the market. With the ... A car wash reduced the price of a basic wash as a promotion and test of the market. With the ...
Video: Spinal Cord Injury Animation

For a complete list of videos, visit our video library