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1. Ginger, Inc. has declared a $5.35 per share dividend. Suppose capital gains are not taxed, but
dividends are taxed at 15%. New IRS regulations require that taxes be withheld at the time the
dividend is paid. The company's stock selis for $74.20 per share, and the stock is about to go
exdividend. What do you think the ex-dividend price will be?

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1 Ginger Inc has declared a 535 per share dividend Sup.pdf

  • 1. 1. Ginger, Inc. has declared a $5.35 per share dividend. Suppose capital gains are not taxed, but dividends are taxed at 15%. New IRS regulations require that taxes be withheld at the time the dividend is paid. The company's stock selis for $74.20 per share, and the stock is about to go exdividend. What do you think the ex-dividend price will be?