Which of the Following Is TRUE of a Dividend Payout

question 19

Multiple Choice

Which of the following is TRUE of a dividend payout?

• A)When a firm announces that it will increase its dividend,the share price usually decreases on that news.
• B)Dividend payments send a positive signal to investors in the marketplace that management believes that the stock is overvalued.
• C)When a stock begins to trade ex dividend the share price will fall.
• D)When a stock begins to trade ex dividend there is no impact on the share price if the market.is efficient

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Definitions:

France

A country in Western Europe known for its rich history, cultural landmarks such as the Eiffel Tower, and significant contributions to art, science, and philosophy.

Iraq

A country in Western Asia, bordered by Turkey, Iran, Kuwait, Saudi Arabia, Jordan, and Syria, notable for its ancient Mesopotamian heritage and rich reserves of oil.

North Korea

An East Asian country officially known as the Democratic People's Republic of Korea, known for its totalitarian regime, dynastic leadership, and isolation from much of the international community.

U.S. Troops

Members of the United States armed forces, including the Army, Navy, Air Force, Marine Corps, and Coast Guard.