Question

Your portfolio is 150 shares of barden, inc. the stock currently sells for $87 per share. the company has announced a dividend of $1.32 per share with an ex-dividend date of april 19. assuming no taxes, how much will your stock be worth on april 19

Answer 1

when there are no taxes the stock price can be expected to drop exactly to the dividend. so net stock price=87-1.32 net stock price=85.68 then the total stock worth will be net stock price * no.of .shares stock value= 85.68*150 stock value= 12,852 $