The Error Caused by Rejecting the Null Hypothesis When It

question 44

Multiple Choice

The error caused by rejecting the null hypothesis when it is, in fact, true is called a:

• A) Type IV error.
• B) Type III error.
• C) Type II error.
• D) Type I error.

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Definitions:

Regular Cash Dividend

Cash payment made by a firm to its owners in the normal course of business, usually made four times a year.

Ex-Dividend Date

The cutoff date after which new buyers of a stock will not be entitled to receive the next declared dividend.

Shareholders

Individuals or entities that legally own one or more shares of stock in a joint-stock company.

Cash Dividend

A payment made by a company out of its earnings to its shareholders, usually in the form of cash.