Solved

In a Scatter Diagram, the More Tightly Clustered the Data

question 2

Multiple Choice

In a scatter diagram, the more tightly clustered the data points are around a straight line, the __________ the correlation coefficient is between the two variables.

Definitions:

Dividend Payment

A portion of a company's earnings distributed to shareholders, usually on a regular basis.

Stock Ownership

Stock ownership refers to the possession of shares in a corporation, which represents a claim on part of the company's assets and earnings.

Residual View

In corporate finance, this concept suggests that dividends should be paid from the residual or remaining equity after all project investments with positive NPV have been funded.

Dividends

Payments made by a corporation to its shareholder members, representing a portion of the corporate profits.