PROFITS Subcommand (TREE command)

For categorical dependent variables, the PROFITS subcommand allows you to assign revenue and expense values to levels of the dependent variable. Revenues and expenses are used in tables and charts that summarize expected profits and return on investment (ROI). Profit is computed as revenue minus expense.

If the dependent variable is scale, this subcommand is ignored and warning is issued.

• The subcommand name is followed by an equals sign (=), the keyword CUSTOM, and a list of dependent variable values, each followed by a pair of values, representing revenues and expenses respectively, enclosed in square brackets.
• Revenue and expense values must be numeric and must be specified for all values of the dependent variable included in the analysis (either all non-missing values found in the data or all values defined on the DEPCATEGORIES subcommand).
• Category values must be consistent with the data type of the dependent variable. String and date values must be quoted. Date values must be consistent with the variable’s print format.
• If you specify the same category value more than once, the expense and revenue values for the last one are used.
• A warning is issued if you specify a category of the dependent variable that does not exist in the data or in the training sample if split-sample validation is in effect. See the topic VALIDATION Subcommand (TREE command) for more information.

Example

TREE income [o] BY age employment gender region
 /PROFITS CUSTOM=1 [.1 .25] 
                 2 [.5 .25]
                  3 [15 .25]. 

• Expected revenue and expense values are defined for each income category.
• Revenues vary across groups. For group 1, the lowest income group, expected revenue is 0.10 per individual. For group 2, the middle income group, expected revenue is 0.50 per individual. For group 3, the high income group, expected revenue is 15 per individual.
• The matrix specifies a fixed expense for each group. For each group, expected expense is 0.25 per person.