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We use factor analysis

Paper 1 · Research Aptitude
We use factor analysis
ATo test a single directional hypothesis
BTo compare the means of two groups
CTo find one simple correlation between two variables
DTo study the interrelationships among many variables and reduce them to factors ✓ Correct
Correct answer: (D) To study the interrelationships among many variables and reduce them to factors — We use factor analysis to study the interrelationships among many variables and reduce them to factors, so that is the answer.
Explanation
We use factor analysis to study the interrelationships among many variables and reduce them to factors, so that is the answer.
Factor analysis works on a large set of variables at once.
So it uncovers the interrelationships among them and reduces them to a few underlying factors.
It is not used just to test one directional hypothesis, a narrower task.
It is not for comparing the means of two groups, which a t-test does.
It is not a single correlation between two variables, so factor analysis reduces many variables to factors.

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