Question
In particular, you will compare the AVERAGE PROFITABILITY for customers with INCOME < 40,000 with customers whose income > = 40,000. Ignore missing values in this analysis (leave them as they are as you complete this analysis and do NOT eliminate records with INCOME missing) and let the EXCEL IF function treat missing values by default. Which of the following is a FIRST STEP towards completing this analysis?
Answer
The first step towards completing this analysis is to identify the variables to be used in comparing average profitability for customers with income less than 40,000 and those with income greater than or equal to 40,000.
- Identify the variables to be used in comparing average profitability for customers with income less than 40,000 and those with income greater than or equal to 40,000.
- Extract data for the identified variables, including INCOME and PROFITABILITY, from the data source.
- Calculate the average profitability for customers with income less than 40,000 and those with income greater than or equal to 40,000.