Question Solved1 Answer Q4- test the efficient market hypothesis a- choose an event thatyou think will impact the company stock price due to the effect ofnew information. b- use a line graph to show the movement of thestock price: before, during and after the event. c- based on yourobservation does the price impacted by the event. d- is thisconsistent with EMH? Why , why not?

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Q4- test the efficient market hypothesis a- choose an event that you think will impact the company stock price due to the effect of new information. b- use a line graph to show the movement of the stock price: before, during and after the event. c- based on your observation does the price impacted by the event. d- is this consistent with EMH? Why , why not?

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ANSWER a) Event chosen -US presidency elections 2020 b) Dow Jones Industrial Average, United States, D, NYSE  c)  OBSERVATION Before the event dow was trading at lows - 26,143 at the time of event 3/11/20 dow was trading at - 27,138 After the event dow made the high of -28,495 increase in price from lows = 28,495 - 26,143 = 2,352  there is an 8.25% increase in price of dow from before to after the elections and stil ... See the full answer