This topic contains a solution. Click here to go to the answer

Author Question: Little, Inc. paid a 10 percent stock dividend. Prior to the dividend, the stock's price was 100 a ... (Read 173 times)

futuristic

  • Hero Member
  • *****
  • Posts: 638
Little, Inc. paid a 10 percent stock dividend. Prior to the dividend, the stock's price was 100 a share. Immediately after the dividend, the price will
 
  A)
 
  increase to 110.00 a share.
  B)
 
  decrease to 90.91 a share.
  C)
 
  decrease to 80.67 a share.
  D)
 
  do nothing in particular because of the dividend.

Question 2

Rational buyers and sellers use their assessment of an asset's risk and return to determine its value. Relative to this concept, which of the following is true?
 
  A) To a buyer the asset's value represents the minimum price that he or she would pay to acquire it.
  B) To a seller the asset's value represents the maximum sale price.
  C) To a buyer the asset's value represents the maximum price that he or she would pay to acquire it.
  D) To a seller the asset's value represents the price at which he acquired the asset.



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

bfulkerson77

  • Sr. Member
  • ****
  • Posts: 331
Answer to Question 1

B

Answer to Question 2

C





 

Did you know?

Parkinson's disease is both chronic and progressive. This means that it persists over a long period of time and that its symptoms grow worse over time.

Did you know?

There are more nerve cells in one human brain than there are stars in the Milky Way.

Did you know?

According to animal studies, the typical American diet is damaging to the liver and may result in allergies, low energy, digestive problems, and a lack of ability to detoxify harmful substances.

Did you know?

It is important to read food labels and choose foods with low cholesterol and saturated trans fat. You should limit saturated fat to no higher than 6% of daily calories.

Did you know?

Drug-induced pharmacodynamic effects manifested in older adults include drug-induced renal toxicity, which can be a major factor when these adults are experiencing other kidney problems.

For a complete list of videos, visit our video library