The Linear Combinations of Independent Variables Developed by Discriminant Analysis

question 51

Multiple Choice

The linear combinations of independent variables developed by discriminant analysis that will best discriminate between the categories of the dependent variable are ________.

• A)discriminant functions
• B)discriminant scores
• C)characteristic profiles
• D)classification matrix

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Definitions:

Retail Inventory Method

An accounting technique for estimating inventory value by using a proportion between the retail price and cost of goods.

Cost Ratio

A measure that compares a company's operating expenses to its revenue, indicating how efficiently it is managed by showing the percentage of sales that goes towards covering costs.

Beginning Inventory

The value of a company's stock of goods at the start of an accounting period, serving as a baseline for inventory management.

Net Income

The total profit of a company after all expenses and taxes have been subtracted from its total revenue.