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Why Would We Describe Statistics as an Analytical Tool Rather

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Essay

Why would we describe statistics as an analytical tool rather than just a set of mathematical equations? Use an example from the text.


Definitions:

Variable Costs

Costs that move in parallel with the rate of goods or services output.

Sensitivity Analysis

The study of how the variation in the output of a model can be attributed to different variations in the inputs of the model, used to predict the impact of changes in economic variables.

Earnings Before Taxes

The income a company generates before taking into account the income tax expense.

Sales Price

The amount a buyer pays to purchase a product or service.

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