You own a stock where the current (Cum Dividend) price is $60.78. The firm just announced a dividend of $4.10 per share. You live in a country where the personal tax rate on dividend income is 30% and the rate on capital gains is 10%. According to Elton & Grubers' (1970) proposition, what should be the Ex Dividend price of the stock?

• $56.68
• $57.59 $58.68 $59.24
• $59.80

Question 12 4 pts You own a stock where the current (Cum Dividend) price is $60.78. The firm just announced a dividend of $4.10 per share. You live in a country where the personal tax rate on dividend income is 30% and the rate on capital gains is 10%. According to Elton & Grubers' (1970) proposition, what should be the Ex Dividend price of the stock? O $56.68 O $57.59 O $58.68 O $59.24 O $59.80