Data Analysis, Sales Forecasting & Special Orders

Question 1

Why is it important for a business to present data clearly, accurately and attractively ?

Answer 1

• So that the data is easy to understand
• Identify trends
• Legal requirements
  -For investors to easily understand the data
• For planning purposes
• Find Gaps in the market

Question 2

What is data ?

Answer 2

Data is information e.g facts and figures
It is used to inform decisions

Types of data include
-Daily sales against targets
-Daily output and faults
-machine hours
-profit levels
-annual growth

Question 3

How can data be presented ?

Answer 3

Tables, charts and graphs

Question 4

Pie Chart

Answer 4

A pie chart is a circular chart that is split into sectors to show percentages or the relative value of different categories of data.

Question 5

Bar Charts

Answer 5

Bar charts are usually grouped into categories using bars. The height of the bar usually represents the frequency for the category.

Question 6

Benefits & Drawbacks of bar chart.

Answer 6

Benefits
-Bar charts allow data to be presented in a clear format where key values can be highlighted very quickly.
-They are particularly useful to summarise a large amount of data in a visual format
-They are used widely throughout the business world to show key financial data

Drawbacks
-Bar charts can oversimplify data and further explanations may be needed to give an accurate analysis of the data
-Data can also be manipulated to show false results and patterns

Question 7

Index Numbers

Answer 7

Index numbers are used in order to make numerical data easier to understand.
They start at 100 and show increases and decreases. For example if the index number was 102 then that would mean there was a 2 % increase.

Index numbers are useful for people like managers as they can make tracking things easier.