Communality Is the Percent of a Variable's Variance Which Contributes

question 4

True/False

Communality is the percent of a variable's variance which contributes to the correlation with other variables or is common to other variables.

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Definitions:

Assets

Resources owned by a business, expected to bring future economic benefits.

Liabilities

Debts or financial responsibilities that a business has to other entities, requiring repayment over a period through the exchange of economic resources such as cash, products, or services.

Owner's Equity

The residual interest in the assets of the entity after deducting liabilities, essentially representing the owner's claim against the company's assets.

Expense

The outflow of resources such as cash and other valuables, incurred in the process of generating revenues.