Multiple Choice
We have collected price per share and dividend information from a sample of 30 companies. The y-intercept in this instance suggests:
A) For each additional dollar in stock price, we can anticipate an additional $2.73 in dividend
B) For each additional dollar in stock price, we can anticipate a drop of $2.41 in dividend
C) When the stock price is zero, we can anticipate a dividend of $0.27. This value, however, makes no sense
D) When the stock price is zero, we can anticipate a dividend of $-3.68. This value, however, makes no sense
E) When the dividends are zero, we can anticipate a negative share price
Correct Answer:

Verified
Correct Answer:
Verified
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