Principal Component Analysis Is

question 20

Multiple Choice

Principal component analysis is

• A) Used to summarize data whilst retaining maximum variance.
• B) Used to summarize data whilst retaining minimum variance.
• C) Derive as few factors as possible.
• D) Derive as many solutions as possible.

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Definitions:

Inventory Destroyed

This term describes inventory items that have been lost, damaged beyond repair, or otherwise rendered unusable and must be written off from the business's accounts.

Retail Inventory Method

An accounting technique used by retailers to estimate inventory levels based on the cost to retail price ratio.

Net Markups

Net Markups refer to the increase in the selling price of goods beyond their purchase price, net of any discounts or allowances.

Cost-to-Retail Ratio

A method used in retail to convert the cost of goods available for sale into the retail price.