Question: 1 F' Ray has just started working as a securities analyst with a large brokerage company. He has a good understanding of the market and

1 F' Ray has just started working as a securities analyst with a large brokerage company. He has a good understanding of the market and prefers to use the fundamentals of the economy and business activity when determining a stock's value. All of the following statements are true, EXCEPT: .53) an increase in taxes generally leads to falling stock prices. F" b) a period of rising ination has a positive impact on stock prices. (76) an increase in the bank rate can lead to reduced company profitability because interest payments on outstanding debts increase. .-"' d) an increase in inflation has the effect of reducing the real rate of return on an investment

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