Which statement best describes the role of quantitative data in business analysis?

The statement that quantitative data is factual and objective accurately captures the essence of what quantitative data represents in business analysis. Quantitative data refers to numerical information that can be measured and analyzed statistically. This type of data is typically gathered through methods such as surveys, experiments, and metrics, allowing analysts to identify patterns, trends, and relationships in an objective manner.

By being factual, quantitative data provides measurable evidence that can support or refute theories, guiding decision-making processes based on empirical data rather than subjective opinions. In contrast to qualitative data, which often involves personal insights, feelings, or descriptions, quantitative data’s objective nature allows businesses to make data-driven decisions, which can be crucial for analyzing performance, forecasting future trends, and optimizing operations.

In this context, the other statements do not accurately reflect the role of quantitative data. Interpretive and subjective assessments are more aligned with qualitative data, while asserting that quantitative data is less useful than qualitative data overlooks its fundamental importance in providing clear, actionable insights based on solid numerical evidence. Lastly, the notion that quantitative analysis requires more opinion contradicts its foundational basis in objective measurement.