Market efficiency implies that there is no best time

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Reference no: EM131507139

1. Market efficiency implies that there is no "best time" to purchase an asset. Explain why this is the case.

2. When making an investment decision, sunk costs should be ignored. However, there is evidence suggesting that mangers do not ignore sunk costs. Explain why this is happening using one of the behavioral biases we learned in class.

Reference no: EM131507139

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