A retail data analyst needs to create a new variable that represents the total purchase amount for each customer. Which of the following data manipulation techniques should the analyst use?

The correct answer is A. Derived variables. Derived variables are new variables created from existing data by performing calculations or transformations. In this case, the retail data analyst can create a new variable representing the total purchase amount for each customer by summing up the purchase amounts of all…

Data Analysis

Question

Options

ADerived variables
BNormalize data
CRecoding data
DData aggregation

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(40 responses)

A
90% (36)
B
3% (1)
C
5% (2)
D
3% (1)

Explanation

Derived variables are new variables created from existing data by performing calculations or transformations. In this case, the retail data analyst can create a new variable representing the total purchase amount for each customer by summing up the purchase amounts of all transactions for that customer. This involves deriving a new variable based on the existing data.

Topics

#Derived variables#Data manipulation#Aggregation#Data transformation

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