Samantha Bought a Stock One Year Ago for $66 a Share.She

question 7

Multiple Choice

Samantha bought a stock one year ago for $66 a share.She received a total of $2.00 in dividends.Today she sold the stock for $70 a share.Which one of the following statements is correct concerning this investment?

• A)Samantha has current income of $6.00.
• B)Samantha has a capital gain of $2.00.
• C)Samantha has a total return of 9.1%.
• D)Samantha has unrealized income of $4 a share.

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Definitions:

Null Hypothesis

A statistical hypothesis that proposes there is no significant difference or effect within the specified population.

Alternative Hypothesis

A hypothesis that contradicts the null hypothesis, asserting there is a significant difference or effect.

Type I Error

The mistaken dismissal of a correct null hypothesis, often referred to as a "false positive."

Null Hypothesis

A statement or premise in statistics that implies no significant effect or relationship between variables, serving as a default position until evidence suggests otherwise.