Question

Ex-date for small stock dividends (< 25%) is:

A) The date of declaration
B) The date of record
C) One business day before the date of record
D) One business day after the date of record

Answer 1

The ex-date for small stock dividends is one business day before the date of record.

Step-by-step explanation:

The ex-date for small stock dividends (< 25%) is one business day before the date of record. The ex-date is the date on which a stock begins trading without its dividend. It is also the date on which the stock's price is typically adjusted to reflect the dividend payout.

For example, if the date of record for a small stock dividend is May 1st, the ex-date would be April 30th. On the ex-date, investors who buy the stock will not receive the dividend, while those who already own the stock will receive it.

The other options mentioned in the question are not the ex-date for small stock dividends.