Which of the Following Statements Is False

question 80

Multiple Choice

Which of the following statements is false?

• A) In perfect capital markets, holding fixed the investment policy of a firm, the firm's choice of dividend policy is irrelevant and does not affect the initial share price.
• B) In a perfect capital market, when a dividend is paid, the share price drops by the amount of the dividend when the stock begins to trade ex-dividend.
• C) In perfect capital markets, an open market share repurchase has no effect on the stock price, and the stock price is the same as the ex-dividend price if a dividend were paid instead.
• D) In perfect capital markets, investors are indifferent between the firm distributing funds via dividends or share repurchases. By reinvesting dividends or selling shares, they can replicate either payout method on their own.

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Definitions:

Carrier Proteins

Proteins involved in the movement of ions, small molecules, or macromolecules, such as glucose, across a cell membrane.

Aquaporins

Membrane proteins that serve as channels in the transfer of water, and sometimes small solutes across the cell membrane.

Active Transport

The movement of substances across cell membranes against their concentration gradient, requiring energy expenditure by the cell.

Connexin Molecules

Protein molecules that assemble into gap junctions, facilitating communication between adjacent cells by allowing the passage of ions and small molecules.