f securities markets are rational and efficient in that they fully and correctly include all available information into a company’s stock price, the resulting price will reflect investors’ unbiased expectations about the company’s future earnings and cash flows.   True or False

Auditing: A Risk Based-Approach (MindTap Course List)
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Author:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg
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Chapter9: Auditing The Revenue Cycle.
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If securities markets are rational and efficient in that they fully and correctly include all available information into a company’s stock price, the resulting price will reflect investors’ unbiased expectations about the company’s future earnings and cash flows.

 

True or False

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