Which of the Following Factors Would Most Likely Be Present

question 139

Multiple Choice

Which of the following factors would most likely be present if a company increases its dividend payout ratio significantly?

• A)a high debt/equity ratio (i.e.,use of a large amount of financial leverage)
• B)a quick ratio that is significantly below the industry average
• C)current shareholders cannot participate in a new offering and desire to maintain ownership control
• D)the variability of expected future earnings decreases

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Definitions:

Research Hypothesis

A specific, testable prediction about the expected outcome of a scientific study.

Null Hypothesis

A default hypothesis that there is no significant effect or difference between specified populations.

Reject

In statistical hypothesis testing, it refers to the decision to not accept the null hypothesis based on the evidence from the data.

F-Ratio

A statistic used in ANOVA to compare the variance among group means to the variance within groups; a measure of variance between groups relative to variance within groups.