In What Ways Are Theories and Hypotheses Interrelated

question 134

Multiple Choice

In what ways are theories and hypotheses interrelated?

• A)Hypotheses are more important than theories.
• B)Theories are more important than hypotheses.
• C)When a hypothesis derived from a theory is not validated,the theory must be modified.
• D)Theories are not of fundamental importance in generating new hypotheses,except when a theory has been proven.

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Definitions:

Spot Price

The current market price at which a particular asset, such as a commodity, currency, or security, can be bought or sold for immediate delivery.

Gold

A precious metal that serves as a form of investment, currency, and store of value, historically used to hedge against inflation and currency devaluation.

Dividend Yield

A financial ratio that indicates how much a company pays out in dividends each year relative to its stock price, often expressed as a percentage.

Risk-Free Interest Rate

The theoretical return on an investment with no risk of financial loss, typically represented by the yield on government securities.