Which of the following is/are true about 'Factor Analysis'?
A. Factor extraction is stopped when Eigen value becomes less than one
B. It is an interdependent statistics
C. It is a Non-parametric analysis
D. Scree plot can be used to determine the number of factors to be extracted
Choose the most appropriate answer from the options given below:
Pick an option to check yourself, or open the answer below.
Show answer & explanation
Correct answer: C. A, B & D only
Explanation
Factor analysis is an interdependence technique; Kaiser's eigenvalue > 1 rule and the scree plot decide how many factors to extract. It is not non-parametric.
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