Question: The abnormal return in an event study is described as the: average return on a security for the 7-day period surrounding an announcement. total return

The abnormal return in an event study is described as the:

average return on a security for the 7-day period surrounding an announcement.

total return earned on a security on the day of an announcement.

daily return on a security on the announcement date minus the risk-free rate of return.

daily return on a security minus the daily return on the overall market.

average return on a security for the 7-day period surrounding an announcement minus the average return on the security for the past year.

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

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

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!

Q:

The abnormal return in an event study is described as the: daily return on a security on the announcement date minus the risk-free rate of return. average return on a security for the 7-day period...

Q:

Question 5 1 pts The abnormal return in an event study is described as 1. the average return earned on the day of announcement for the stock. II. the excess return earned on the day of announcement...

Q:

Item 8 4 Item 8 4 The abnormal return in an event study is described as the: Multiple Choice total return earned on a security on the day of an announcement. daily return on a security minus the...

Q:

The abnormal return in an event study is described as the: Multiple Choice average return on a security for the 7 - day period surrounding an announce daily return on a security minus the daily...

Q:

The abnormal return in an event study is described as the:Multiple Choicetotal return earned on a security on the day of an announcement.esdaily return on a security minus the daily return on the...

Q:

The abnormal return in an event study is described as the Multiple Choice Ototal retum eamed on a securty for the 7 day period commenceng 3 day pnor to an announcement ffecingthat securty total...

Q:

Do a three page review on the Article. WHAT PRACTITIONERS NEED TO KNOW ... * . . About Event Studies Mark P. Kritzman Event studies measure the relationship between an event that affects securities...

Q:

Requested to do an integrated summary of these paper by reflecting to the local (Malaysian) Corporate Financial Scenarios. Three views on stock markets and corporate behavior: Tobin, Veblen, and Marx...

Q:

Kindly help with the summary of this Article WHAT PRACTITIONERS NEED TO KNOW ... About Event Studies Mark P. Kritzman Event studies measure the relationship between an event that affects securities...

Q:

Catastrophic Events and Retroactive Liability Insurance: The Case of the MGM Grand Fire Stephen P. Baginski Richard B. Corbett William R. Ortega* This study examines the capital market response to...

Q:

For O2 with a bond length of 0.121nm, what is the moment of inertia about the center of mass?

Q:

What is the expenditure needed in the cash flow for an e-sport company (offering a job for people to be live streamers)? Rent, equipment, salary, utility, equipment maintenance, sales tax .......?

Q:

What byproduct of cornflakes production was utilized to create adhesives for industrial purposes? none Corn syrup Corn husks Comcobs Corn oil

Q:

10 DO TABLE 12A Historical returns and standard deviations, 1957-2017 Arithmeti Average Return Standard Deviation P 10.15 163 Canadian common rocks UN common stocks (Cd 5) 1157 16 56 537 9.35 Long...