"Information effect" is A. company's actions convey information about its future. B. agents incur costs in trying to obtain information.

only answer A. its correct - company's actions convey information about its future

Definitely option A.

By définition , option A . The companies'actions carry highly valuable information about thé companies' current situation, thé risk level théy can handle and théir possible future strategies. By followIng companies' actions , its possible to have proper idea about théir futur financial and competitional positions .  

The correct answer is A

 The correct answer is (A) company's actions convey information about its future.