Reference no: EM13874928 , Length:

"Fair and Lovely" is a well-known health care and beauty company based in Sydney Australia. The company produces and markets three products lines

1. Toothpaste,

2. Body Lotion and

3. Face Wash.

Table 1 provides monthly data for a 2-year period for the following:

1. Monthly turnover for each product line

2. Monthly advertising costs

You are required to complete the following tasks in order to develop your understanding on measures of central tendency, measures of dispersion of the data and measures of association between different variables.

1. Identify the type of the data also identify the variables.

2. Organise the data into appropriate class intervals and present the following:
a. A histogram of the frequency distribution
b. An "Ogive" of the cumulative frequency distribution
c. Frequency Polygon

3. Estimate the Mean, Median, Range, Standard Deviation and Coefficient of Variation

4. Compare the risk (or variability of revenues) from three different products sales based on monthly revenue data.

5. Calculate the 25th, 50th, and 75th percentile of the first year data on advertising costs.

6. The marketing manager of Fair and Lovely has proposed to the CEO, that they invest more money on advertising in order to increase the return of the company. How can you as a analyst reporting to the CEO of the company use this statistical data to evaluate the marketing managers proposal? (Hint: Calculate correlation coefficient between revenue data of each product and advertisement costs)

Table 1. Monthly returns and costs on advertisement (in thousand dollars) of XYZ Company for two years.

Year	Months	Toothpaste (AU$)	Body Lotion (AU$)	Face wash (AU$)	Advertisement Costs (AU$)
Year 1	January	45	51	57	28
	February	48	57	61	28
	March	50	61	61	29
	April	52	62	67	30
	May	54	67	68	34
	June	41	49	51	24
	July	71	98	132	44
	August	76	104	132	50
	September	81	132	137	57
	October	82	156	140	58
	November	84	146	147	62
	December	85	152	148	63
Year 2	January	85	156	158	70
	February	55	72	70	36
	March	61	73	112	37
	April	66	84	121	40
	May	70	95	123	43
	June	21	30	32	12
	July	22	31	35	13
	August	25	38	38	14
	September	32	38	42	15
	October	37	40	44	17
	November	38	46	47	22
	December	38	47	50	23