Question: Explain why it is desirable to find the exact time that the market first became aware of an item of accounting information if any security

Explain why it is desirable to find the exact time that the market first became aware of an item of accounting information if any security price reaction to this information is to be detected. Can such a time always be found? Explain why or why not. What can researchers do when the exact time the market first became aware of the information cannot be isolated?

Step by Step Solution

★★★★★

3.41 Rating (170 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock

It is desirable to identify the moment when the market became aware of such information because of s... View full answer

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Document Format (1 attachment)

329-B-A-I-S (3693).docx

120 KBs Word File

Students Have Also Explored These Related Accounting Questions!

Explain why it is desirable to use hard ferromagnetic materials to make permanent magnets.

Explain why it is desirable that a test charge used to measure a field be small in comparison with the fields source charge.

Explain why it is possible to find the mean for the data of a quantitative variable, but not for a qualitative variable.

Explain why it is desirable to find the exact time that the market first became aware of an item of accounting information if any security price reaction to this information is to be detected. Can...

Each separate response must have approximately 200 words. Assignments vary widely; however, essays should be written in APA style, with in-text citations and a separate reference listing as...

Chandler Corp: Supplementary Note: This information extends the Chandler Corp case study used in the course. You are a management accountant at Chandler Corp working in Dan Smiths finance team to...

WASHINGTONThe record $5 billion fine and oversight conditions federal regulators imposed on Facebook Inc. for privacy violations put Big Tech on notice that any company failing to protect consumer...

Question #1: The author gives several reasons why the blame cast on the EMH for the global financial crisis is unfounded. Which one makes the most sense to you? Why? Which argument do you disagree...

It was given in an examination that, if the first odd number is 1, the second odd number is 3, the third odd number is 5 and so on. Then what will be the 2000th odd number is 1. 3999 4211 3. 3579 4....

Describe an action a regulatory agency took against a business in the past 6 months. Do you agree or disagree with the action? Explain your reasoning and support it with the materials.

An emissions tax on a quantity of emissions from a firm is not a command-and-control approach to reducing pollution. Why?

A planned volume variance in the first quarter, which is expected to be absorbed by the end of the fiscal period, ordinarily should be deferred at the end of the first quarter if it is Favorable...

Search the FASB ASC database to determine the accounting objective of accounting for inventory, and cite the paragraph number. Cite the original pronouncement that stated this objective. Find, cite,...

Search the FASB ASC to find the items classified as current assets. Cite and copy the relevant paragraph.

Search the FASB ASC to find information on the classification of current liabilities. Cite and copy the relevant paragraph.

2. Fashion Corp. has come up with a new product. One year ago, the company paid $120,000 for a marketing survey to determine the viability of this product. It is estimated that the product will...

Walter Utilities is a dividend-paying company and is expected to pay an annual dividend of $2.25 at the end of the year. Its dividend is expected to grow at a constant rate of 7.00% per year. If...

Last year Dania Corporation's sales were $525 million. If sales grow at 10.6% per year, how large (in millions) will they be 6 years later? a. $868.83 million b. $580.65 million c. $858.90 million d....