Which of the following is true about a Pareto chart?

A Pareto chart is primarily used to highlight the most significant factors in a dataset and is based on the Pareto principle, which suggests that a small number of causes often lead to a large majority of the effects. Option B is correct because a Pareto chart identifies factors and shows their cumulative percentage, allowing users to see not only the individual contributions of each factor but also how those contributions accumulate. This cumulative perspective helps in prioritizing which factors to address first for the greatest impact on improvement efforts.

The use of cumulative percentages in a Pareto chart effectively illustrates the relative importance of each factor, guiding stakeholders in focusing their resources and efforts on the most impactful issues. This makes it a powerful tool for identifying and prioritizing problems in quality management and process improvement projects.

The other options are not accurate representations of a Pareto chart's characteristics. For instance, a Pareto chart can display both qualitative and quantitative data, as long as the qualitative categories can be quantified in some manner. Numerical data entry is indeed necessary for constructing the chart, but this does not capture the essence of what makes a Pareto chart unique compared to other types of data visualization. Finally, a key feature of a Pareto chart is its prioritization; it does not present all data