Market on the day of dividend announcement

Assignment Help Finance Basics
Reference no: EM132804652

Pinder Ltd is about to announce a dividend and have asked you for your opinion on the likely share price adjustments across key dates relating to the dividend. The CEO of Pinder Ltd - Sean Pinder - tells you that the dividend has been increased significantly this year because of higher than expected sales - news that he says he will share with the market on the day of the dividend announcement.

Assuming that overall market-wide returns are flat across the key dates, which of the following statements accurately describes the expected share price movement for Pinder Ltd with respect to key dates associated with the payment of a dividend?

Group of answer choices

  • The share price will be expected to decrease on the announcement date
  • More than one of the other statements are correct
  • The share price is not expected to move in any specific direction on the payment date
  • None of the other statements are correct
  • The share price is expected to increase on the ex-dividend date

Reference no: EM132804652

Questions Cloud

What do you hope to learn in the next several months : You should also include what aspects of writing at work make you feel least comfortable. What types of tasks would you not be as suited for? What do you hope.
What is the amount of each mortgage payment : Beth Johnson takes out a 30-year, $575,000 mortgage at 2.99%. Mortgage payments are due at the end of each month, starting with the first month.
What maximum amount perfume division would be willing to pay : What is the maximum amount Perfume Division would be willing to pay for the bottles? Using the general rule, determine the minimum transfer price.
Explain specifically why the activity is appropriate : One classroom activity that supports emotional development along with a supporting rationale that explains specifically why the activity is appropriate.
Market on the day of dividend announcement : Pinder Ltd is about to announce a dividend and have asked you for your opinion on the likely share price adjustments across key dates relating to the dividend.
Difference between the primary market and secondary market : What do financial managers mean by "free cash flow"? How is free cash flow calculated? Difference between the primary market and secondary market
Identify common reasons for the dearth of women leaders : Create a PowerPoint presentation that addresses the following items listed below: Identify common reasons for the dearth of women leaders.
Explain the current or future leadership approach : Discuss in your paper how reflecting on this time might help shape your current or future leadership approach in a current or desired leadership situation.
Pros and cons of using debt financing : What are the pros and cons of using debt financing? Please Explain.

Reviews

Write a Review

Finance Basics Questions & Answers

  Financial reporting and analysis

Finance is about Gunns Ltd, a company in dealing with forestry products in Australia. The company has also been listed in Australian Stock Exchange. As many companies producing forestry products, even Gunns Ltd is facing various problems. Due to the ..

  A report on financial accounting

This report is specific for a core understanding for Financial Accounting and its relevant factors.

  Describe the types of financial ratios

Describe the types of financial ratios and other financial performance measures that are used during venture's successful life cycle.

  Differences between sole proprietorship and corporation

Briefly describe the major differences between a sole proprietorship and a corporation

  Prepare a cash budget statement

Calculate the expected value of the apartment in 20 years' time. What is the mortgage loan repayment at the beginning of each month

  What are the implied interest rates

What are the implied interest rates in Europe and the U.S.?

  State pricing theory and no-arbitrage pricing theory

State pricing theory and no-arbitrage pricing theory

  Small business administration

Identify the likely stage for each venture and describe the type of financing each venture is likely to be seeking and identify potential sources for that financing.

  Effect of financial leverage

The Effect of Financial Leverage and working capital management

  Evaluate the basis for the payment to the lender

Evaluate the basis for the payment to the lender and basis for the payment to the company-counterparty.

  Importance of opps, ipps, mpfs and dmepos

Research and discuss the differences and importance of : OPPS, IPPS, MPFS and DMEPOS.

  Time value of money

Time Value of Money project

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd