An Investor Owns 5,000 Shares,which Is 1% of a Corporation's

question 70

Multiple Choice

An investor owns 5,000 shares,which is 1% of a corporation's outstanding stock before a stock repurchase.The investor did not sell any of his stock during the 25,000 share repurchase.Which of the following statements is correct?

• A) The investor still owns 1% of the corporation.
• B) The stock's price is likely to drop by 5%.
• C) The investor owns more than 1% of the corporation.
• D) The investor now has 5,250 shares.

Recognize the impact of mere exposure on preferences and likings.

Understand the concept and examples of social loafing and its effects on group work.

Understand the concepts of different types of distributions (neokurtic, platykurtic, leptokurtic) and their characteristics.

Grasp the concept of sampling distribution and the importance of standard error.

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Definitions:

Kilograms

A metric unit of mass equal to one thousand grams, commonly used to measure weight.

Confidence Interval

A range of values, derived from the sample data, within which there is a specified probability that the value of a parameter lies.

Pounds

A unit of weight commonly used in the United States, equivalent to 0.453592 kilograms.

Confidence Interval

A range of values, derived from the sample statistics, that is likely to contain the value of an unknown population parameter.