TJ Corp Is Expected to Pay a Dividend of $3

question 6

Multiple Choice

TJ Corp. is expected to pay a dividend of $3.00 per year indefinitely. If the appropriate rate of return on this stock is 10 percent per year, and the stock consistently goes ex-dividend 45 days before the dividend payment date, what will be the expected minimum price in light of the dividend payment logistics?

• A) $3.70
• B) $26.68
• C) $29.65
• D) $30.00

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Definitions:

Evidence-based Treatment

Therapeutic interventions that have been scientifically tested and proven to be effective for specific disorders.

Cognitive-behavioral Therapy

An approach in psychotherapy that targets unhealthy emotions, actions, and mindsets through an organized, purposeful method.

Gestalt Therapy

The humanistic therapy developed by Fritz Perls in which clinicians actively move clients toward self-recognition and self-acceptance by using techniques such as role playing and self-discovery exercises.

Empirically Supported Treatment

A movement in the clinical field that seeks to identify which therapies have received clear research support for each disorder, to develop corresponding treatment guidelines, and to spread such information to clinicians. Also known as evidence-based treatment.