Exhibit 14-3
Information for 26 colleges and universities in the state of Indiana is provided in the table below. The following questions contain a sequence of steps for executing the K-Means Clustering Method.
-Refer to Exhibit 14-3 Determine the distances for each college or university to each cluster center. 
Definitions:
Shut Down
Cessation of a firm’s operations as output falls to zero.
Break-even Point
The level of production or sales at which total revenues equal total expenses, resulting in neither profit nor loss.
Marginal Revenue
The extra revenue generated through the sale of an additional unit of a product or service.
Marginal Cost
The additional total cost incurred from manufacturing an additional unit of a product or service.
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