Statistics for Managerial Decisions

Running Head: STATISTICS FOR MANAGERIAL DECISIONS
Statistics for Managerial Decisions
Name of the Student
Name of the University
Author Note

1STATISTICS FOR MANAGERIAL DECISIONS
Table of Contents
Answer 1..........................................................................................................................................2
Part a............................................................................................................................................2
Part b............................................................................................................................................2
Part c............................................................................................................................................3
Part d............................................................................................................................................3
Answer 2..........................................................................................................................................4
Part a............................................................................................................................................4
Part b............................................................................................................................................4
Part c............................................................................................................................................4
Part d............................................................................................................................................4
Answer 3..........................................................................................................................................5
Part a............................................................................................................................................5
Part b............................................................................................................................................5
Part c............................................................................................................................................5
Part d............................................................................................................................................5
Answer 4..........................................................................................................................................6
Part a............................................................................................................................................6
Part i.............................................................................................................................................6
Part ii............................................................................................................................................6
Part b............................................................................................................................................6
Part i.............................................................................................................................................6
Part ii............................................................................................................................................6
Answer 5..........................................................................................................................................7
Part a............................................................................................................................................7
Part b............................................................................................................................................9

2STATISTICS FOR MANAGERIAL DECISIONS
Answer 1
Part a
The stem and leaf plot is presented below:
Table 1: Stem and Leaf Plot
SFR Stem CSR
9 3 3 2 1 0 0 1 4 5 8 9 9
2 0 2 2 4 6 8 8 9
6 6 3 2 3 2 2 3 5 5 5 5 6 6
5 3 4 0 2 5 6 7 9 9
8 8 7 7 7 6 6 6 6 6 2 1 0 5 0 1 3 4 4 5
9 8 5 4 4 3 1 0 6 5 7
2 1 7
6 3 1 0 8 2 5
Part b
The distribution of the stock prices of CSR and SFR is presented below. The stock prices
of CSR are presented as relative frequency histogram. The stock prices of SFR are presented as
frequency polygon.
$0 to
less than
$1
$1 to
less than
$2
$2 to
less than
$3
$3 to
less than
$4
$4 to
less than
$5
$5 to
less than
$6
$6 to
less than
$7
$7 to
less than
$8
$8 to
less than
$9
0.000
0.050
0.100
0.150
0.200
0.250
0.300
0.350
Distribution of Data
CSR
SFR
Class Widths
Relative Frequency
Figure 1: Distribution of Stock Prices

3STATISTICS FOR MANAGERIAL DECISIONS
Part c
Figure 2 presents the market capital (bn) for different organizations.
BRICKWORKS
LIMITED (BKW) ADELAIDE
BRIGHTON
LIMITED (ABC)
DULUXGROUP
LIMITED (DLX) PILBARA
MINERALS
LIMITED (PLS)
LYNAS
CORPORATION
LIMITED (LYC)
SARACEN
MINERAL
HOLDINGS
LIMITED (SAR)
0.00
0.50
1.00
1.50
2.00
2.50
3.00
3.50
4.00
4.50
Market Capital (billion)
Name of Organizations
Market Capital (bn)
Figure 2: Market Capital of Organizations
Part d
Table 2: Ratios of CSR and SFR
Ratio CSR SFR
Dividend Yield 6.91% 3.87%
P/E Ratio 10.43 8.97
Debt 28000 1850
Table 2 presents dividend Yield, P/E ratio and Debt of CSR and SFR. The information is
collated from ASX and investsmart. The advice from investsmart to shareholders is that they
should invest in those stocks which have high P/E ratio as well as high Dividend Yield. From
table 2 it is found that CSR has a high dividend yield and P/E ratio. Thus shareholders should
invest in stocks of CSR.