If Two Variables, X and Y, Have a Strong Linear

question 96

Multiple Choice

If two variables, x and y, have a strong linear relationship, then

• A)there may or may not be any causal relationship between x and y
• B)x causes y to happen
• C)y causes x to happen
• D)None of these answers is correct.

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Definitions:

Interest Income

Earnings from investments in interest-bearing accounts, bonds, or other financial instruments that pay periodic interest.

Eligible Dividends

Dividends designated by a company for tax purposes, which may qualify for preferential tax treatment under certain jurisdictions.

Repurchase

The act of a company buying back its own shares from the marketplace, which can affect the company's share price and capital structure.

Stock

A type of security that represents ownership in a corporation and a claim on a part of the company’s assets and earnings.