by TheBusinessProfessor | Feb 23, 2025 | Research, Quantitative Analysis, & Decision Science
What is the Central Limit Theorem?The central limit theorem states that with the assumption that all samples are equal in size, the example six gets larger, the distribution of same means approximates that of a normal distribution. In other terms, CLT is a statistical...
by TheBusinessProfessor | Feb 23, 2025 | Research, Quantitative Analysis, & Decision Science
What is a Cluster Analysis?Cluster analysis is a classification method that groups sets of items with similar characteristics into clusters (groups). It is a statistical technique where data, points, and objects with similar characteristics are subdivided into...
by TheBusinessProfessor | Feb 23, 2025 | Research, Quantitative Analysis, & Decision Science
What is Covariance?Covariance is a metric used in statistics and probability theory to measure the directional relationship between the returns of two risky assets (two variables). What the metric does is to evaluate to what extent and how much the variables move...
by TheBusinessProfessor | Feb 23, 2025 | Research, Quantitative Analysis, & Decision Science
What is Three-Way ANOVA?A three-way ANOVA which is also referred to as three-factor ANOVA refers to a statistical method of ascertaining three factors’ effects on an outcome. ANOVA is the acronym for analysis of variance, and variance is the data variability...
by TheBusinessProfessor | Feb 23, 2025 | Research, Quantitative Analysis, & Decision Science
What is Predictive Analytics?Predictive analytics is a form of analytics that seeks to predict the outcome of unknown future events using modeling and advanced statistical techniques. Predictive analytics also uses current and past data to determine the future...
by TheBusinessProfessor | Feb 23, 2025 | Research, Quantitative Analysis, & Decision Science
What is a Discrete Distribution?In statistics, a discrete distribution is a probability distribution of the outcomes of finite variables or countable values. If a random variable follows the pattern of a discrete distribution, it means the random variable is discrete....
