Consider the Following Equation: Pcum - Pex = Div ×

question 20

Multiple Choice

Consider the following equation: Pcum - Pex = Div × The term Pex is:

• A)the effective dividend tax rate.
• B)the price per share before a dividend is paid.
• C)the price per share after a dividend is paid.
• D)the personal tax rate for capital gains.

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Definitions:

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