Which of the Following Is Not True About a Hypothesis

question 6

Multiple Choice

Which of the following is not true about a hypothesis?

• A) It can be proven to be false.
• B) It is a tentative explanation.
• C) Previous knowledge can help support it.
• D) It must be testable to be useful.
• E) It can be proven to be true.

Understand the dividend yield and its relation to net income and market price per share.

Acknowledge the challenge of classifying highly diversified firms by industry.

Understand the factors affecting the return on common shareholders' equity, including leverage and debt ratios.

Assess the limitations of comparing basic earnings per share across companies and industries.

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Definitions:

Inventories

The raw materials, work-in-process products, and finished goods considered part of a business's assets that are ready or will be ready for sale.

Taxes Payable

Liabilities owed to various governmental entities within the current fiscal period.

Bonds Outstanding

The total amount of bonds that are issued by a corporation or government entity and are currently in the hands of investors.

Leverage Ratio

A financial measurement that compares the amount of a company's debt to its assets, equity, or earnings.