Exhibit 1-2 In a Sample of 1,600 Registered Voters, 912, or 57

question 57

Multiple Choice

Exhibit 1-2
In a sample of 1,600 registered voters, 912, or 57%, approve of the way the President is doing his job.
-Refer to Exhibit 1-2. A political pollster states: "Fifty-seven percent of all voters approve of the President." This statement is an example of

• A)a sample
• B)descriptive statistics
• C)statistical inference
• D)a population

---

Definitions:

Cost of Equity

The rate of return that a company theoretically pays to its equity investors to compensate for the risk they undertake by investing in the company.

Cost of Equity

The return that investors expect for investing in a company's equity, considered the cost of equity capital.

Security Market Line

A representation in financial models that shows the relationship between the risk of an investment and its expected return.

Dividend Payout Ratio

A metric that measures the portion of a company's earnings paid out to shareholders as dividends.