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Assume that a company announces an unexpectedly large cash

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Reference no: EM13574165

Assume that a company announces an unexpectedly large cash dividend to its shareholders. In an efficient market without information leakage, one might expect:

a. An abnormal price change at the announcement.

b. An abnormal price increase before the announcement.

c. An abnormal price decrease after the announcement.

d. No abnormal price change before or after the announcement.

Reference no: EM13574165

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