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Title: Absent any other trading frictions or news, Rearden's share price just after the dividend is paid ... Post by: johnpaech on Nov 20, 2017 Absent any other trading frictions or news, Rearden's share price just after the dividend is paid will be closest to:
A) $35 B) $36 C) $37 D) $40 Title: Re: Absent any other trading frictions or news, Rearden's share price just after the dividend is ... Post by: deusmaroto on Nov 20, 2017 B
Explanation: B) (Pcum - Pex)(1 - Tg) = DIV(1 - Td) → Pex = Pcum - = $40 - = $36.25 |