Most statistical analyses distinguish between response (or dependent) variables and explanatory (or dependent) variables. For instance, we might analyze that how student’s test result depends on his IQ. Then, the student’s test result is the response variable and the IQ is the explanatory variable. In categorical data analysis, we focus on analyzing the data that has categorical response variables. For example, if the test result varies from 0-100, then theresponsevariable can be assumed as a continuous variable. We can use the regression model to analyze the data. On the other hand, if the test result is ranked as low , medium and high or ranked as pass and fail, then the response variable is categorical.