When a Researcher Is Selecting Items for a Composite Index,which

question 63

Multiple Choice

When a researcher is selecting items for a composite index,which of the following should be kept in mind?

• A)Each item should have face validity.
• B)A composite measure should be unidimensional.
• C)There should be concern about the amount of variance provided by the items.
• D)Each item should have face validity and the composite measure should be unidimensional.
• E)Each item should have face validity, the composite measure should be unidimensional, and there should be concern about the amount of variance provided by the items.

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Definitions:

Manufacturing Overhead

All indirect costs associated with the manufacturing process, excluding direct materials and direct labor.

Controllable Variance

The difference between actual and expected amounts that can be directly managed or controlled by responsible individuals.

Fixed Overhead Costs

Indirect expenses of running a business that are not affected by changes in the volume of goods or services produced, such as rent, salaries, and insurance.

Overhead Costs

Ongoing expenses related to the operation of a business, such as rent, utilities, and insurance, that are not directly tied to production.