To be entitled to receive a dividend,an investor must purchase shares:
A)before the ex-dividend date.
B)after the ex-dividend date.
C)after the ex-dividend date but before the 'books closing' date.
D)before the ex-dividend date but before the 'books closing' date.

Question

Quizplus · Accepted Answer

To receive a dividend, an investor must purchase shares before the ex-dividend date. The ex-dividend date is the date after which the buyer of the stock will not receive the next dividend payment. Therefore, anyone who purchases the shares on or after the ex-dividend date will not be entitled to receive the next dividend payment.

To Be Entitled to Receive a Dividend,an Investor Must Purchase