CH_5-7_Data Sources and Analysis

Which of the following is an example of transactional data?

• Customer email preferences

• Sales invoices and payment records

• Marketing campaign strategies

• Employee training records

What is an example of internal data?

• Social media trends

• Employee payroll records

• Government reports

• Competitor pricing data

What type of data do companies get from external sources?

• Customer transactions

• Supplier contracts

• Market research reports

• Employee performance reviews

What is one key risk of using internal data?

• High costs associated with accessing it

• Potential biases and limited scope

• Lack of security and reliability

• Inability to use it for business decisions

What is a common issue with external data?

• It is always outdated

• It may be expensive and inconsistent

• It is more reliable than internal data

• It does not require validation

What is the primary goal of descriptive analytics?

• Predict future trends

• Summarize and explore data

• Automate decision-making

• Optimize business processes

What does predictive analytics focus on?

• Generating financial reports

• Identifying historical trends

• Forecasting future outcomes

• Recommending optimal decisions

What does correlation analysis measure?

• The relationship between variables

• The number of missing values

• The effectiveness of a prediction

• The accuracy of financial data

What is a common challenge in data analysis?

• Finding enough irrelevant data

• Avoiding the need for visualization

• Ensuring data quality and consistency

• Replacing all human decision-makers

What is the key characteristic of the “testing phase” in data projects?

• Data collection

• Model validation

• User training

• System design