Which of the Following Statements Is True

question 61

Multiple Choice

Which of the following statements is true?

• A)Closed-end funds issue an unlimited number of shares as liabilities.
• B)Open-end funds supply limited number of shares to investors.
• C)Open-end funds need not stand ready to buy back previously issued shares from investors at the current market price for the fund's shares.
• D)At a given market price, the supply of open-end fund shares is perfectly inelastic.
• E)The number of outstanding shares of a closed-ended fund may change when the issuing fund chooses to repurchase them.

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Definitions:

One-Tailed Test

A hypothesis test in which the region of rejection is only on one side of the sampling distribution, used when a research hypothesis predicts a direction of the effect.

P-Value

The p-value measures the evidence against the null hypothesis, indicating the probability of observing the test results under the null hypothesis.

Two-Tailed

Pertains to a type of hypothesis test where the area of interest is in both tails of the distribution, indicating that deviations from the null hypothesis in either direction are considered.

Alternative Hypothesis

In statistical hypothesis testing, it is the hypothesis that suggests there is a significant difference between the parameters of two or more populations.