2 of 11 3 Marks XYZ Inc. declared a dividend of $5.00 per share to be paid to the holders of record on November 20. This announcement was made on October 15. All the investors in this economy face a tax rate of 40% on dividend income. On the date of record the stock price: O a. Drops by 5.00 dollars (A full adjustment for the dividend payment), . b. Drops by 2.00 dollars (A partial adjustment for the dividend payment because of the tax effect). Oc Drops by 3.00 dollars Od None of the options. Clear my choice Unsure