All of the Following Are True EXCEPT

question 67

Multiple Choice

All of the following are true EXCEPT:

• A) The product moment correlation is denoted by ρ.
• B) The coefficient r is an estimator of ρ.
• C) The calculation of r assumes X and Y are metric.
• D) Data that use rating scales with a small number of categories will tend to under estimate ρ.
• E) Data that use rating scales with a small number of categories will tend to over estimate ρ.

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Definitions:

Dividend Yield

The ratio of the dividend per share to the share price, illustrating the annual dividend payout of a company in comparison to its share price.

Selling Price

The amount of money for which something is sold in the market, determined by factors like cost, demand, and competition.

Annual Discount Rate

The interest rate used in discounted cash flow analysis to calculate the present value of future cash flows.

Annual Growth

The year-over-year increase, usually presented as a percentage, in a particular metric such as revenue, earnings, or assets.