Which of the Following Statements Is False

question 13

Multiple Choice

Which of the following statements is false?

• A) Future dividend payments and stock prices are not known with certainty; rather these values are based on the investor's expectations at the time the stock is purchased.
• B) The capital gain is the difference between the expected sale price and the purchase price of the stock.
• C) The sum of the dividend yield and the capital gain rate is called the total return of the stock.
• D) We divide the capital gain by the expected future stock price to calculate the capital gain rate.

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Definitions:

Oral Medication

A form of medicine taken by mouth to be swallowed or absorbed in the gastrointestinal tract.

Medicine Cup

A small cup, often with marked measurements, used for dispensing liquid medication in specific doses.

Oral Medication

Drugs that are taken by mouth in the form of tablets, capsules, or liquids.