Use the Following to Answer the Question(s) Below

question 3

Multiple Choice

Use the following to answer the question(s) below.
Stock prices and earnings per share (EPS) data were collected for a sample of 15 companies. Below are the regression results. The dependent variable is Stock Price.
-Which of the following statements is true about the correlation between stock price and EPS?

• A) The correlation is negative.
• B) The correlation is not significantly different from zero.
• C) The correlation is positive and significantly different from zero.
• D) We fail to reject the null hypothesis Hο : ρ ≠ 0.
• E) As t statistic for the correlation coefficient test equals 15.82 and associated P-value is very small, we fail to support the alternative hypothesis HΑ : ρ ≠ 0.