How Is Discriminant Analysis Different from Multiple Regression

question 71

Multiple Choice

How is discriminant analysis different from multiple regression?

• A)In discriminant analysis, the criterion variable is a set of categories rather than a continuous variable.
• B)The criterion variable is continuous in discriminant analysis but not in multiple regression.
• C)Discriminant analysis is a form of factor analysis, while multiple regression is not.
• D)Discriminant analysis and multiple regression involve exactly the same process.

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Definitions:

Process Costing

An accounting methodology used for uniform products, allocating production costs to units of output based on the process they undergo.

Weighted-Average Method

A cost accounting method that calculates the cost per unit of inventory based on the weighted average of the costs of similar items at the beginning of a period and the costs of similar items during the period.

Conversion Costs

The combined costs of direct labor and manufacturing overhead, incurred to convert raw materials into finished goods.

Process Costing

An accounting methodology used for homogenous products, which accumulates production costs and then allocates them to large numbers of identical units.