You Complete a Hypothesis Test Using α =

question 72

Multiple Choice

You complete a hypothesis test using α = .05,and based on the evidence from the sample,your decision is to reject the null hypothesis.Which of the following is true?

• A)You have made a Type I error.
• B)You have made a Type II error.
• C)You might have made a Type I error, but the probability is less than 5%.
• D)You have made the correct decision.

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Definitions:

Dividends

Payments made by a corporation to its shareholders, usually as a distribution of profits.

Payout Ratio

A financial metric indicating the percentage of earnings paid to shareholders in the form of dividends, reflecting a company's dividend sustainability.

Dividends

Distributions from a company to its shareholders, typically sourced from the firm's earnings.

Net Income

The total profit of a company after all revenues and gains are added together and all expenses and losses are subtracted.