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Which of the following statements regarding the short interest ratio is true? - It is calculated by the total shares sold short divided by total

Which of the following statements regarding the short interest ratio is true?

- It is calculated by the total shares sold short divided by total shares outstanding

- It indicates the dollar amount needed to cover all short positions

- The higher the ratio, the more bullish investors are

- It is the amount of shares sold short divided by average trading volume

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