ESSENTIAL OF CORP FINANCE W/CONNECT
ESSENTIAL OF CORP FINANCE W/CONNECT
8th Edition
ISBN: 9781259903175
Author: Ross
Publisher: MCG CUSTOM
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Chapter 14.1, Problem 14.1CCQ
Summary Introduction

To discuss: The changes in the stock level when it goes ex-dividend.

Introduction:

The company’s stock level drops when the company declares the dividend. The reason behind this is that when the stock prices goes down with the same amount of dividend, the dividend automatically goes down; this will ultimately have an effect on company’s reduced value.

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