Exploratory Factor Analysis Is Used When a Researcher Is Certain

question 59

True/False

Exploratory factor analysis is used when a researcher is certain about the number of factors and which variables belong in each.

---

Definitions:

Perpetual Inventory System

An inventory management method that continuously updates the count and value of inventory, reflecting additions and subtractions in real-time.

FOB Shipping Point

An Incoterm indicating that the buyer assumes ownership and risk for goods at the point of departure from the seller's shipping location.

Credit Memo

A credit memo is a document issued by a seller to a buyer, reducing the amount that the buyer owes to the seller under previous transactions, often due to a return or a mistake.

Periodic Inventory System

An inventory tracking method where physical counts are performed at specific intervals to determine the cost of goods sold and ending inventory.