On the morning of March 15, Decker Marketing Inc. announced that it will pay its first dividend of $5 this year. The ex-dividend date will be July 3.
a. If the announcement is a complete surprise to the market, what do you expect will happen to the stock price on March 15?
b. If the announcement has been forecasted by the financial analysts, what do you expect to happen to the stock price on March 15?
c. What do you expect to happen to the price of Decker Marketing Inc. on July 3?