Examlex
Factor analysis could be used to do which of the following?
Variable Cost
Costs that change in proportion to the good or service that a business produces, varying depending on production volumes.
Fixed Costs
Fixed costs refer to expenses that do not change with the level of goods or services produced by the business within a certain range of activity or over a certain period.
Sensitivity Analysis
A technique used to determine how different values of an independent variable will impact a particular dependent variable under a given set of assumptions.
Net Present Value
A method used in capital budgeting to evaluate the profitability of an investment or project, calculated by subtracting the present value of cash outflows from the present value of cash inflows.
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