A. shares are sold at par price B. buyer is entitle to the next dividend C. shares are sold above par D. seller has right to the next dividend
Correct Answer: D
Explanation
The ex-dividend date is normally two business days before the record date. If you purchase a stock on or after its ex-dividend date, you will not receive the next dividend payment. Instead, the seller gets the dividend. If you purchase before theex-dividend date, you will get the dividend.
