Dr Evil's "Rate My Professor" Rating Keeps Getting Higher, Even

question 44

Multiple Choice

Dr. Evil's "Rate My Professor" rating keeps getting higher, even though he tries to keep it as low as possible (he was down to 0.2!) He decides he must be getting nicer in his old age and to be meaner than ever to his statistics students this year! The change in Dr. Evil's ratings are most likely due to

• A) statistical significance.
• B) a median split.
• C) an illusory correlation.
• D) regression to the mean.
• E) None of the above

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Definitions:

Unrealized Declines

Reductions in the estimated market value of an investment that has not yet been sold by the holder.

Stockholders' Equity

Stockholders' Equity is the residual interest in the assets of a corporation after deducting liabilities, representing ownership equity spread amongst shareholders.

EPS Reporting

The process of disclosing earnings per share, a key financial ratio indicating the portion of a company's profit allocated to each outstanding share of common stock.

GAAP

Generally Accepted Accounting Principles, a set of accounting standards and practices used in the United States to ensure financial statements are consistent and transparent.