The Number of Dummy Variables Representing a Qualitative Variable Should

question 51

Multiple Choice

The number of dummy variables representing a qualitative variable should be ________.

• A) one less than the number of categories of the variable
• B) two less than the number of categories of the variable
• C) the same number as the number of categories of the variable
• D) None of these choices is correct.

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Definitions:

Stable Environment

A situation or setting that is generally unchanging and predictable, offering a consistent context for operations or behavior.

Adequate Supervision

The provision of guidance, direction, and oversight by a superior to ensure that tasks are performed effectively and efficiently.

Poorly Defined Tasks

Tasks or assignments that lack clear objectives, directions, or criteria for completion, often leading to confusion and ineffective outcomes.

Inventory Analysis

The examination of inventory to determine the optimum amount to hold, based on sales trends and stock levels.