| Abstract: | ABSTRACT: This paper describes the techniques of factor and discriminant analyses to isolate and quantify the statistical differences between firms located on flood plains and those located off flood plains. The research effort described consists of three segments: data collection, isolation of potential classification variables, and the determination of the appropriate discriminant functions to classify a given fm as either on or off the flood plain. Significant classification functions are developed for both manufacturing and commercial establishments, whose arguments include dollar sales volume, total shipping cost, total employee cost, dollar valuations on the building and inventories, all on an annual basis, and the square footage of the site. |
