The common stock of Woods Bowling Balls closed at $59.65 a share today.Tomorrow morning, the stock goes ex-dividend.The dividend that is being paid this quarter is $1.37 per share.Assume the tax rate on dividends is 21 percent.All else equal, what should the opening stock price be tomorrow morning?
A) $59.64
B) $58.43
C) $58.38
D) $58.57
E) $58.72
Correct Answer:
Verified
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