= Discrete dividend budget equation
{title2=$C_t+S_t\theta_{t+1}=(S_t+d_t)\theta_t$}
When a productive <stock> pays $d_t$ before trading at ex-dividend price $S_t$, an investor entering with $\theta_t$ shares receives $d_t\theta_t$ and sells or buys shares to leave with $\theta_{t+1}$. The displayed <budget constraint> accounts for the available <consumption> and the cost of the new holding. Here $\theta_t$ is known before date $t$, while $C_t$ and $\theta_{t+1}$ may depend on the information revealed at that date.
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