Answered: What caused amazon stocks to drop in…

Business

Finance

What caused amazon stocks to drop in 2023? Why is amazon a good long term investment?

Business/Professional Ethics Directors/Executives/Acct

8th Edition

ISBN:9781337485913

Author:BROOKS

Publisher:BROOKS

Chapter2: Ethics & Governance Scandals

Section: Chapter Questions

Problem 4.12EC

See similar textbooks

Related questions

Q: Suppose that expectations about the S&P 500 index and the T-bill rate are the same as they were in…

A: Treasury bills yield a lower return.

Q: What is the probability that the economy will be neutral and the stock will experience poor…

A: Calculation of probability that economy will be neutral and stock will experience poor performance:…

Q: An analyst provided the following table about the returns of Walmart Inc in 2023: Scenario…

A: The expected return of the stock refers to the average return that the company provides after the…

Q: live in a world where three future states are pos these states of the economy. State Probability om…

A: Expected rate is the weighted rate of return based on the probability of happening the event over…

Q: What is the implication of the capital market to investors in times of pandemic? Provide your…

A: Capital markets are related to financial system which help in generating funds through issue of…

Q: 3 The historical returns for two investments-A and B-are summarized in the following table for the…

A: Risky security is a security that has returns more volatile than the market and its return…

Q: b) Consider the following expected returns, volatilities, and correlations: Correlation Correlation…

A: We have to find the volatility of a portfolio that is equally invested in two stocks Duke Energy and…

Q: Which statement is TRUE regarding the riskiness of money market instruments and capital market…

A: Money Market instruments are those instruments which are traded with a maturity of less than an year…

Q: Review the case of negative Crude oil prices in 2020. Critically discuss the event in terms of: Why…

A: in 2020 there were negative prices for crude oil that means that they were offering money to buy…

Q: Suppose over the last decade the volatility of USD/CAD (USA dollar/Canadian dollar) kept decreasing,…

A: Bid ask spread is the difference between the price at which seller is ready to sell and buyers are…

Q: Define & explain Annual Percentage Rate (APR) & the Effective Annual Rate (EAR). What is the…

A: Since you have asked multiple questions, we will solve one for you (Question no. 2). If you want any…

Q: explain the reasons for observing negative price in the oil future markets (in 2020), and discuss…

A: Financial market (FM) is a place where various securities like debt, equity and foreign currencies…

Q: WHY AAPL stock is the best momentum to buy now?

A: AAPL stock has been growing in recent times and expect that trend to continue in the future.

Q: What are efficient markets? Imagine if the price of a stock is going up and financial markets are…

A: A stock market can be defined as a place where an investor can buy or sell the securities. A stock…

Q: Fill in the question marks in the chart below: Ford Motor Company United Airlines Coca Cola Risk…

A: Market risk premium Market risk premium is return on market less risk free rate. It is the…

Q: Question 5 a) How do financial institutions help individuals to diversify their portfolio risks?…

A: As per our guidelines we are supposed to answer only one question (if there are multiple questions…

Q: COVID-19 pandemic affect stock market volatility? Explain in details

Q: After a big move in BTC, and ETH prices in early 2023, prices have been in a very narrow trading…

A: Cryptocurrency prices, including Bitcoin (BTC) and Ethereum (ETH), are influenced by various…

Q: Assume that the expected inflation rate has just been revised upward by the market. Would the…

A: The required rate of return is the return received by an investor at a minimum acceptable rate. It…

Q: “When the stock market rises, investment spending isincreasing.” Is this statement true, false, or…

A: When the stock market rises, investment spending isincreasing. false

Q: What would be concluded about the South African Mobile Phone sector between 2008 and 2011? A. The…

A: Stock markets show ups and downs and stocks market are quite volatile in nature but overall market…

Q: Amazon stock market equities why is a good idea to invest in for long term ?

A: The sum of cash that would be paid back to stockholders if all the resources were liquidated and all…

Q: Why were money market securities yields so high in the 1980's compared to now in 2020?

A: Junk bonds also known as high-yield corporate bonds have attracted investors due to their higher…

Q: discuss market efficiency. How does this affect investors?

A: Market efficiency refers to how well current prices reflect all available, relevant information…

Q: Considering the globalization of financial markets and how different our world is now compared to…

A: When it comes to predicting future returns, historical data can provide valuable insights, but it…

Q: Will the stock market Crash again? yes or no? why?

A: Stock market crashes due to unexpected or uncertain unfavorable events.

Q: Why did Estee Lauder greatly increase the payout ratio in 2020 when the pandemic broke out. Why Did…

A: The Dividend policy is said to be important decision because the company can have a constant…

Question

What caused amazon stocks to drop in 2023?

Why is amazon a good long term investment?

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Concept:

VIEW

Part-1 Explanation:

VIEW

Part-2 Explanation:

VIEW

Step by step

Solved in 3 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, finance and related others by exploring similar questions and additional content below.

Similar questions

What is Efficient Market Hypothesis (EMH) Does the Global Financial Crisis of 2008-09 support or invalidate the EMH? article if needed: The Global Financial Crisis and the Efficient Market Hypothesis, What have we learned?
1) Can a person with rational expectations expect the price of a share of google to rise by 8% in next month? 2) what is the best financial instrument to offset market risk exposure and from market volatility? WHY?
Why were money market securities yields so high in the 1980's compared to now in 2020?
What was the High and Low closing price of the stock for Walmart in 2020?
Review the case of negative Crude oil prices in 2020.Critically discuss the event in terms of: Why did it happen?What were the impact for investors?Explain it
Suppose that expectations about the S&P 500 index and the T-bill rate are the same as they were in 2009, but you find that a greater proportion s invested in T-bills today than in 2009. What can you conclude about the change in risk tolerance over the years since 20097
Choose Correct word in Bold Suppose you are an investor who owns shares of Facebook stock. If the Fed implements a stimulative monetary policy, then interest rates will (increase/decrease). If, as a result of the policy implementation, you believe that the economic conditions are much worse than anyone is anticipating, and that sales and earnings for Facebook could decrease significantly in the near future, then you believe that the value of the stocks will (increase/decrease), and as a result, your shares of Facebook stock would (increase/decrease) in value.
An economy is making a rapid recovery from steep recession, and businesses foresee a need for large amounts of capital investment. Why would this development affect real interest rates? Real interest rates are expected to ✓ (Click to select) (Click to select) Therefore the e rise fall remain constant [he investment activity will shift the demand for funds curve (in Figure 5.1) to the est rate will (Click to select)
Which of the following is a diversifiable risk? Multiple Choice The risk that the economy will go into a recession The price of oil rising The risk that a company's CEO is killed in a plane crash Inflation The corporate tax rate rising by 5%
Which of the following is an example of unsystematic risk? XYZ corp stock price fell when the news of a drop in GDP was released. When the new employment numbers showed the economy is creating more jobs, the stock market rose. ABC Manufacturing stock price falls upon the announcement that they have a parts shortage from their suppliers When news of strong consumer demand was released, proctor and gamble stock price rose The stock market rose at the announcement of higher GDP numbers
You live in a world where three future states are possible: Boom, Normal and Recession. See the probablities of these states in the attched table. Consider a stock which you expected to have the following returns in these states of the economy. State Probability Boom Normal Recession O 9.05% O 7.35% What is the expected return on an investment in this stock? 6.00% 25% 55% 20% O 3.75% State Expected Return 0.15 0.08 -0.04
“When the stock market rises, investment spending isincreasing.” Is this statement true, false, or uncertain?Explain your answer