What Does the Following Output from a Factor Analysis Tell

question 19

Multiple Choice

What does the following output from a factor analysis tell us?

• A)The sample size is adequate, and the correlations in the correlation matrix are significantly bigger than zero.
• B)The sample size is sufficient, but there is multicollinearity in the data.
• C)The sample size is inadequate, and there is multicollinearity in the data.
• D)The sample size is adequate, but the correlations in the correlation matrix are not big enough.

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Definitions:

Materials Spoilage

The portion of raw materials that becomes unusable and is discarded during the production process.

Direct Labor

Labor costs directly attributed to the production of goods or services, such as wages paid to factory workers or assembly line employees.

Direct Materials

Raw materials that can be directly associated with the production of a product and are included in the final product.

Standard Costs

Predetermined or budgeted costs serving as a benchmark for evaluating actual performance and cost control.