Register
. A tech company loses a high-profile patent-infringement case against its top competitor. Which of the following is true? a. Demand for the company's stock decreases, while the price of a share falls.
6.1k views
0 votes
. A tech company loses a high-profile patent-infringement case against its top competitor. Which of the following is true? a. Demand for the company's stock decreases, while the price of a share falls. b. Demand for the company's stock decreases, while the price of a share rises. c. Supply of the company's stock decreases, while the price of a share falls. d. Supply of the company's stock decreases, while the price of a share falls

User Galex
by
5.5k points

1 Answer

4 votes

Answer:

a. Demand for the company's stock decreases,

Step-by-step explanation:

As a result of losing the case, investors would not want to hold the stock of the company due to the anticipated dip in revenue of the firm as a result of losing the case. As a result, there is a dip in the demand for stock.

when demand for the stock falls, the price of the stock also reduces.

User Dabljues
by
5.6k points
Ask a Question
Welcome to QAmmunity.org, where you can ask questions and receive answers from other members of our community.

5.7m questions

7.4m answers

Other Questions

_____ reminds customers and clients that they made a good choice in selecting a company with which to do business, or it reminds them of the good qualities of their purchase.​
On august 1 the darius co. purchased a photocopy machine for $8,000. the estimated annual depreciation on the machine is $1,680. if the company prepares annual financial statements on december 31, the
When president obama was elected, the u.s. economy was in trouble, and has slid into a recession. consumer spending was low and getting worse. in an effort to stop the decline, president obama proposed
Ensuring that an individual is who they claim to be is the function of _____. select one: a. confidentiality b. authorization c. availability d. authentication e. nonrepudiation
The current market price for good y is above the equilibrium price, and then the price of a subsitute good, x, increases. the demand curve for good y shifts as a result. what is the likely outcome of the
Link Copied!