In which scenario is the INFORMAT statement used?

The INFORMAT statement is utilized to specify the input format for reading data. When data is being read into a SAS program, particularly from external files, it is crucial to inform SAS how to interpret and convert the raw data values into valid SAS data values. This is where the INFORMAT statement comes into play.

Using informats allows SAS to correctly understand the data types and structures, such as dates, currency, or specific text formats that may not readily match standard reading assumptions. For example, if a date is presented in a format like "MMDDYY," an appropriate informat must be specified for SAS to recognize and correctly interpret that date when importing the data.

This functionality is essential in ensuring that the data is accurately processed and analyzed, preventing incorrect interpretations of data types or values which could lead to inaccurate results in subsequent analyses. The other options involve formatting for output purposes or generating reports, which do not pertain to how data is initially read into SAS.