A Positive Correlation Is One in Which

question 197

Multiple Choice

A positive correlation is one in which

• A) variables change in the same direction.
• B) a strong relationship has been found.
• C) definite predictions can be made.
• D) the hypothesis has been supported.

---

Definitions:

Non-Controlling Interest

A stake in a company that is not large enough to control company decisions, representing ownership by minority shareholders in a subsidiary not wholly owned by the parent.

Equity Method

An accounting technique used to record investments in other companies, where the investment is initially recorded at cost and adjusted thereafter for the investor's share of the investee's profit or losses.

Dividends

Payments made by a corporation to its shareholder members, usually derived from the company's profits.

Fair Value Enterprise Method

A valuation approach that estimates the value of an entire enterprise based on the fair value of its assets and liabilities.