BooBugs Corp., with $750,000$ shares outstanding and a market value of $$15$ million, just

declared a $12\%$ stock dividend. What should be the stock price of BooBugs on the ex$-$dividend

day, holding all else constant? The answer is B $(17\mathrm{.}86)$

A$)$ $$22\mathrm{.}40$

B$)$ $$17\mathrm{.}86$

C$)$ $$24$

D$)$ $$20,$ because stock dividends do not affect the share price.

E$)$ There is not enough information to answer this question.