If an Item Analysis Suggests That an Item in a Test

question 4

Multiple Choice

If an item analysis suggests that an item in a test is poor, and if that item is removed from the test, the reliability of the shorter test is likely to be

• A) lower than the original reliability coefficient
• B) reliability would not change, but validity would increase
• C) higher than the original reliability coefficient
• D) none of the above

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Definitions:

Dividend Yield

The ratio of a company's annual dividend payments to its share price, indicating the earning potential from dividends for investors.

Required Return

An annual return rate set as the minimum to attract investment from persons or entities into a specific security or project.

Dividend Growth Rate

The annualized percentage rate of growth of a company's dividends per share.

Dividend Amount

Dividend amount is the sum paid to shareholders out of a company's earnings, typically on a per-share basis.