Combining the Data from Adjacent Categories of a Likert-Scale Item

question 14

True/False

Combining the data from adjacent categories of a Likert-scale item is a common form of data transformation.

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Definitions:

Net Operating Income

A financial metric that calculates a company's profitability by subtracting operating expenses from its operating income.

Variable Costing

A method of costing that includes only variable production costs (costs that vary with production volume) in the cost of goods sold and excludes fixed manufacturing overhead.

Net Operating Income

Earnings derived from a company's regular business activities, excluding deductions of interest and taxes.

Net Operating Income

Income from a company's operations, excluding taxes and interest, reflecting the profitability of the core business activities.