Which of the Following Statements Is Correct for Stock Purchased

question 78

Multiple Choice

Which of the following statements is correct for stock purchased on the last day to trade "cum dividend"?

• A)a dividend will be declared on the next trading day.
• B)a dividend will be paid on the next trading day.
• C)the stock price should decline on the next trading day.
• D)the stock price should have declined on the previous trading day.

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Definitions:

Distributive Justice

The ethical principle concerned with the fair allocation of resources among diverse members of a community.

Resources

Assets or materials available to individuals, organizations, or societies that can be utilized to achieve specific goals or needs.

Willingness

The state of being prepared to engage in a particular action or process.

Decisions

The act of making a choice from among various options in the face of uncertainty or multiple possibilities.