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Data names should always relate to business characteristics.
a.True
b.False

1 Answer

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Final answer:

Data names in a business context should be clearly related to the characteristics they represent, which is true. A positive correlation indicates a relationship but does not confirm health benefits without further research. Smartphone company names are examples of nominal scale data, used for identification without an inherent order.

Step-by-step explanation:

The statement 'Data names should always relate to business characteristics' is true. In business, when naming data elements, it is essential to use names that clearly describe the characteristics they represent. This enhances the understandability and usefulness of the data for business analysis. For example, a database containing customer information would benefit from clear and descriptive data names such as 'CustomerID', 'FirstName', 'LastName', and 'PurchaseHistory', as opposed to vague or non-descriptive names.

When considering something like a positive correlation, it is important to note that a positive correlation implies a relationship where one variable increases as the other variable increases. However, this does not inherently mean that there are health benefits to the variable under investigation. Correlation does not equate to causation, and additional research is needed to determine if a true cause-and-effect relationship exists.

An example of nominal scale data is seen with smartphone companies. The names of these companies are classified as nominal data because they are used to label things without any quantitative value, and there's no inherent order or ranking among them. For instance, brands such as 'Samsung', 'Apple', and 'Huawei' are labels used to identify different smartphone manufacturers.

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