Question 4 (2 points) 5 Investors expect a company to announce a 5% decrease in

Question

Question 4 (2 points) 5 Investors expect a company to announce a 5% decrease in earnings. Instead, the company announces that earnings decreased by 2%. 10 O 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 already fallen due to expectations of negative earnings, so the nse announcement will bave no affect Save

Explanation / Answer

The Stock Price will rise after announcement because the company earnings aren't as bad as expected.

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