AL Econ Question

捷禾@Ajax

1a)Peter bought 400 shares of Hong Kong Bank at $102 from the stock market. Unfortunately, the stock prive falls drastically to $76 after SARS. Thus the cost of owning the shares for Peter was decreased. Do you agree?Explan
呢條我識..
1b) As in a) Peter had never intended to cut loss and insisted that he would not sell the shares until it rose back to the purchased price of $102. In what sense was his insistence reasonable and in what sense was it not?

reasonable, 係咪當佢consider 埋sunk cost 時
而theoritically, sunk cost 唔effect 人current decision, but can provide information for future decision, 而個information 好似係share price will likely to fall, among 而家o既option available, 係應該賣

可唔可以咁講

捷禾@Ajax

Push

anybody knows