What Is a Technique Used to Divide an Information Set

question 22

Multiple Choice

What is a technique used to divide an information set into mutually exclusive groups such that the members of each group are as close together as possible to one another and the different groups are as far apart as possible?

• A) Association detection
• B) Market basket analysis
• C) Cluster analysis
• D) Intelligent agent

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Definitions:

Natural Hedge

A risk management technique where a business reduces its exposure to fluctuations, typically in currency or interest rates, through its normal operations.

Trade Accounts Receivables

Amounts owed to a business by its customers from the sale of goods or services on credit.

Danish Krones

The currency of Denmark, used as the primary means of exchange within the country.

Hedge Accounting

A method of accounting where entries for the ownership of a security and the opposing hedge are treated as one. It aims to reduce the volatility seen in financial statements.