If a Test Is a Valid Measure of a Particular

question 91

Multiple Choice

If a test is a valid measure of a particular construct,we would expect that

• A) groups of people who differ with respect to the construct will obtain different test scores.
• B) groups of people who differ with respect to the construct will obtain similar test scores.
• C) groups of people who obtain similar scores will have similar personalities.
• D) None of these

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Definitions:

Retained Earnings

The fraction of net earnings that is not allotted for dividends, but is retained by the company to reinvest in the core business activities or to pay off debts.

Annual Revenues

The total amount of money received by a company from its activities, such as sales of products or services, before any expenses are subtracted, within a fiscal year.

Expenses

The outflow of money to pay for goods, services, or assets, or the costs incurred in the operation of a business.

Dividends

Capital returned to shareholders by a company, often representing a share of the company's profits.