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Indy Owns 100 Shares of Stock in Pet Mart Corporation

Question 38

Multiple Choice

Indy owns 100 shares of stock in Pet Mart Corporation that he purchased for $20 per share.Every year he has received, from company profits, $1 for each share he owns.Indy should necessarily sell his stock if


A) the price falls below $20 per share.
B) he expects the sum of future capital gains and dividends to be negative.
C) the company stops paying dividends.
D) any of these circumstances occur.

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