Question

The term ex dividend refers to​ ________. A. a period beginning 7 business days prior to the date of​ record, during which a stock is sold without the right to receive the current dividend B. a period beginning 2 business days prior to the date of​ record, during which a stock is sold without the right to receive the current dividend C. the actual date on which a firm mails the dividend payment to the holders of record D. the date on which all investors whose names are recorded as stockholders receive a declared dividend at a specified future time

Answer 1

B) a period beginning 2 business days prior to the date of​ record, during which a stock is sold without the right to receive the current dividend.

Step-by-step explanation:

Ex-dividend refers to a stock that is trading without the value of the next dividend payment.

Ex-dividend is a term which refers to a period beginning 2 business days prior to the date of​ record, during which a stock is sold without the right to receive the current dividend.

Ex-dividend stocks are stocks which are trading without the value of the next dividend.

Investors who buys the stock before the ex-dividend date are entitled to the next dividend payment while investors who buy the stock on the ex-dividend date or after are not entitled to to the next dividend payment.

Ex-dividend date is the day the stock starts trading without the value of its next dividend payment.

Answer 2

The answer is B. a period beginning 2 business days prior to the date of​ record, during which a stock is sold without the right to receive the current dividend

Step-by-step explanation:

The term ex dividend refers to​ a period beginning 2 business days prior to the date of​ record, during which a stock is sold without the right to receive the current dividend.

Ex-dividend describes a stock that is trading without the value of the next dividend payment.