Generally, there is a drop in the price of equity subsequent to the announcement of a new issue. This is attributed to:
A) An increase in the supply of shares
B) Information effect
C) Both a and b
D) None of the above

Question

Quizplus · Accepted Answer

The Answer of Generally, there is a drop in the price of equity subsequent to the announcement of a new issue. This is attributed to:
A) An increase in the supply of shares
B) Information effect
C) Both a and b
D) None of the above

Generally, There Is a Drop in the Price of Equity