Bayside Marina just announced it is decreasing its annual dividend from $1.48 per share to $1.45 per share effective immediately. If the dividend yield remains at its pre-announcement level, then you know the stock price:

Multiple Choice

• was unaffected by the announcement.

• increased proportionately with the dividend decrease.

• decreased proportionately with the dividend decrease.

• decreased by $.03 per share.

• increased by $.03 per share.