When Business Analytics Is Used to Understand Past and Current

question 25

Multiple Choice

When business analytics is used to understand past and current performance,it is called _____ analytics.

• A) decision
• B) descriptive
• C) predictive
• D) prescriptive

---

Definitions:

Common Fixed Expenses

Expenses that remain constant in total regardless of changes in the level of activity or volume of output and are shared by more than one segment of a business.

Contribution Margin

Contribution margin is the revenue remaining after subtracting variable costs, used to cover fixed costs and generate profit, highlighting the profitability of individual products.

Business Segments

Parts or divisions of a company that operate within distinct markets or industries, often reported separately in financial statements for analysis.

Common Fixed Expenses

Overhead costs that are incurred regardless of the level of production or sales, shared by multiple products or departments.