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Dividends That Are Expected to Be Paid Far into the Future

Question 42

Multiple Choice

Dividends that are expected to be paid far into the future have:


A) great impact on current stock price due to their expected size.
B) equal impact on current stock price as near-term dividends.
C) lesser impact on current stock price due to discounting.
D) no impact on current stock price because they are uncertain.

Correct Answer:

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