New information that might lead to a decrease in a stock's price might be
A)an expected decrease in the level of future dividends.
B)a decrease in the required rate of return.
C)an expected increase in the dividend growth rate.
D)an expected increase in the future sales price.

Question

Quizplus · Accepted Answer

If there is an expected decrease in the level of future dividends, investors may become less interested in purchasing the stock, which could lead to a decrease in the stock's price.

New Information That Might Lead to a Decrease in a Stock's