AFB, Inc declared a dividend of $2 per share, which was an increase of 25% from the prior year, yet
AFB, Inc stock declined by 3% the day of the announcement.
DAS, Inc declared a dividend of $2
per share, which was the same as the prior year, and its stock increased in value by 2% on the day
of the announcement. These events could be most readily explained by the
A) clientele effect. B) expectations theory.
C) residual dividend theory. D) information effect.
B
You might also like to view...
Steve has invested in twelve different stocks that have a combined value today of $121,300. Fifteen percent of that total is invested in Wise Man Foods. The 15 percent is a measure of which one of the following?
A. portfolio return B. portfolio weight C. degree of risk D. price-earnings ratio E. index value
The sorting process refers to _____
a. physical distribution assortment by perishability b. a retailer's pricing goods by quality and size c. government grading standards for produce d. a retailer's collecting an assortment of goods and services from many vendors