- Topic 1 - 1 Question 4 Not yet A small company struggling to reach profitability just announced a major new government contract that will validate its technology and generate revenue for the next several years. The announcement of the contract will answered 11 Marked out of 1.00 Select one: 16 P Flag question a. cause the stock price to decrease because the government usually pays below market price for the goods and services it purchases 21 28 b. cause the stock price to increase because kcs (the required return) is likely to decrease and g (the growth rate in future dividends) is likely to increase 31 c. have no effect on the stock price because the company has not yet paid any dividends 36 d. cause the stock price to increase because kes(the required return) is likely to increase Fin Previous page Next page