The news that inﬂuences the unanticipated rate of return on a stock is called the:
A) Surprise.
B) Expected rate of return.
C) Beta.
D) Systematic risk.
E) Asset-speciﬁc risk.

Question

Quizplus · Accepted Answer

The news that influences the unanticipated rate of return on a stock is called a surprise. It is unexpected and can cause sudden changes in the market value of the stock. This surprise can be positive or negative, and its impact on the stock's return cannot be predicted with certainty.

The News That Inﬂuences the Unanticipated Rate of Return on a Stock