After a Company Has Made an Announcement About a Forthcoming

question 2

Multiple Choice

After a company has made an announcement about a forthcoming dividend,then at a specified date when the share begins to trade ex-dividend:

• A) the buyer of the share will now receive the due dividend.
• B) the share price will adjust upwards by the amount of the forthcoming dividend.
• C) the seller of the share will receive the next dividend payment.
• D) the ex-dividend share price will be unaffected by the forthcoming dividend.

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Definitions:

Consensus Theory

A sociological perspective suggesting that social order and stability are maintained through a general consensus on values, norms, and rules within society.

Punishment

The imposition of a penalty as retribution for an offense, often used within the context of criminal justice to deter unlawful behavior.

Rational Factors

Elements or considerations based on reason, logic, or facts that influence decisions or behaviors.

Hate Crimes

Criminal acts motivated by bias or prejudice towards particular groups, often defined by race, religion, sexual orientation, or ethnicity.