Investors Tend to Buy Shares with Low Payout Ratios and Dividend

question 127

True/False

Investors tend to buy shares with low payout ratios and dividend yields if they are looking for more capital appreciation from the shares.

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Definitions:

Test Statistic

A calculated value that is used to assess the evidence against the null hypothesis in a statistical test.

Alternative Hypotheses

Statements positing a specific relationship or difference between variables, considered when the null hypothesis is suspected to be false.

Test Statistic

A value derived from sample data used in hypothesis testing to determine whether to reject the null hypothesis.

Null Hypothesis

A statistical hypothesis that assumes no significant difference or effect exists between specified populations or parameters.