Which of the following statements is TRUE?
A) The lure of stock market riches gives entrepreneurs an incentive to develop new products.
B) Stock markets allow incompetent managers to be replaced by more competent managers.
C) Stock prices provide information on whether the firm is making good decisions.
D) All of these statements are true.

Question

Quizplus · Accepted Answer

All the statements are true as they describe the functions and benefits of stock markets, including providing incentives for innovation, facilitating management changes, and offering information on firm performance.

Which of the Following Statements Is TRUE