Question 4 (2 points) Investors expect decreased by 2%. a company to announce a

Question

Question 4 (2 points) Investors expect decreased by 2%. a company to announce a 5% decrease in earnings. Instead, the company announces that earnings The stock's price will fall after the announcement because the company had negative earnings O The stock's price will rise after the announcement because the company's earnings weren't as bad as expected O The stock's price will not change because it will have aiready fallen due to expectations of negative earnings, so the announcement will have no affect

Explanation / Answer

The stock's price will rise after the announcement because the company's earnings weren't as bad as expected

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