Data analytics has four broad categories that range in value and complexity. Each of the four category types strives towards raising questions that assist decision makers in their efforts to gather relevant data. Which of the following is an example of a question answered by descriptive analytics?
A) How would hiring additional staff impact the bonus potential of existing employees?
B) What are the selling price trends of a single product across the United States?
C) Why did the direct material cost increase over the past year?
D) Why have our customers stopped ordering a certain category of products?

Question

Quizplus · Accepted Answer

This question requires familiarity with the four broad categories that data analytics can be placed in. Choice B is correct because asking what the selling price trends are about a single product is an example of a question that would be answered using descriptive analytics. The remaining choices are incorrect because they represent questions answered by one of the other three categories.

Data Analytics Has Four Broad Categories That Range in Value