A company is analyzing financial transaction records. The company categorizes the records as either personal or business. The company inserts the categories into the transaction records. Which data…

The correct answer is B. Data labeling. Assigning categories such as "personal" or "business" to financial transaction records is an example of data labeling, where each data point is tagged with a specific label for use in machine learning or data analysis tasks.

Submitted by amina.ke· Mar 30, 2026

Question

A company is analyzing financial transaction records. The company categorizes the records as either personal or business. The company inserts the categories into the transaction records. Which data preparation step does this describe?

Options

AData encoding
BData labeling
CData normalization
DData balancing

How the community answered

(35 responses)

A
6% (2)
B
89% (31)
C
3% (1)
D
3% (1)

Explanation

Assigning categories such as "personal" or "business" to financial transaction records is an example of data labeling, where each data point is tagged with a specific label for use in machine learning or data analysis tasks.

Topics

#Data labeling#Data preparation

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