Assume That Omicron Uses the Entire $50 Million in Excess

question 81

Multiple Choice

Assume that Omicron uses the entire $50 million in excess cash to pay a special dividend.Omicron's cum-dividend price is closest to:

• A)$50.00
• B)$40.00
• C)$5.00
• D)$45.00
• E)$35.00

---

Definitions:

Automatic Stay

Under the Bankruptcy Act, the suspension of all litigation against the debtor and his property, which is triggered by the filing of a bankruptcy petition.

Alimony

Financial support paid by one ex-spouse to another after divorce or separation, as dictated by a court order or agreement.

Bankruptcy Petition

A legal document filed by an individual or business entity declaring their inability to pay outstanding debts, seeking relief through bankruptcy proceedings.

Court Order

A formal directive issued by a court that requires a party to do or refrain from doing something; it's legally binding and enforceable.