Multiple Choice
If in any period the dividend on a share takes one of four values, $0.00, $0.08, $0.28 or $0.60 with equal probability then for a share that trades for 10 period and becomes value-less after that, the expected dividend is:
A) $0.24.
B) $3.60.
C) $2.40.
D) $0.00.
Correct Answer:
Verified
Correct Answer:
Verified
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