Which of the Following Statements Is Correct for Stock Purchased

question 31

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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