Google Data Analytics Professional Certification Practice Test

Which of the following statements about data transformation is true?

1. It guarantees unbiased results

2. It only changes values, not structure

3. It can alter the format of the data

4. It is irrelevant in data analysis

The correct answer is: It can alter the format of the data

Data transformation is a critical step in the data analysis process that involves converting data from one format or structure to another, allowing for better analysis and interpretation. The correct statement highlights that it can alter the format of the data, which includes changing the data types, scaling numerical values, normalizing data, and converting categorical data to numerical formats, among other alterations. This process ensures that data is in an appropriate format for analysis, making it easier to derive meaningful insights. Transformation may involve reshaping the data structure, such as pivoting data tables or aggregating data, which allows analysts to focus on specific aspects of the data. By changing the format, analysts can prepare the data for various analytical tools and visualizations, ultimately enhancing the quality and relevance of the analysis performed. On the other hand, statements about guaranteeing unbiased results and being irrelevant to data analysis do not accurately reflect the purpose of data transformation. While it contributes to obtaining clearer insights, it does not inherently eliminate bias in the data. Furthermore, saying that it only changes values and not the structure overlooks the capacity of transformation processes to reshape data, which is fundamental in many analytical scenarios.