(Answered) Question jc automobiles is a small auto parts manufacturing

Finance

Question: JC Automobiles is a small auto parts manufacturing firm, which has paid $1.00 in annual dividends each year for the last 5 years. It announces that dividends will increase to $ 1.25 next year. What would you expect the price reaction to be? Why? If your answer is different from the prior problem, explain the reasons for the difference.

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