We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.
Nobody downloaded yet

Statical Data in a Business - Essay Example

Comments (0) Cite this document
Summary
This paper will involve use of Bayes’ theorem to establish the cost of defective products that are produced by the two plants of a detergent producing company, one located in Florida and the other one in Texas. Bayes theorem, therefore, will be used to make decision in…
Download full paperFile format: .doc, available for editing
Polish This Essay92.3% of users find it useful
Statical Data in a Business
Read TextPreview

Extract of sample
"Statical Data in a Business"

Download file to see previous pages A central depot is set up, where all the detergent that is manufactured by the two plants is sent and mixed together. Following a careful investigation, the production manager established that 10% of the detergent manufactured in Florida and 5% of the detergent manufactured in Texas is faulty and hence cannot be used. It is also known that when the company sells faulty products, its goodwill is tainted and the cost of replacing the faulty product is high. The production manager finds it prudent to allocate these costs reasonably between the two production facilities. This allocation requires knowledge of the probability that a particular production line will produce faulty detergent. In particular, the production manager should seek answers to the following questions:
To find the solution to this problem, a probability function is constructed, whereby, F stands for the event that a unit of detergent is faulty. In other words, the production manager is aware of the following?
It is by now known that 40% of the detergent is produced by Florida plant and 60% from Texas. As such, P (Florida) = 0.40 and P (Texas) = 0.6. Using Bayes’ Theorem, the following probability from each production line is presented:
These probabilities imply that 57.14% of the faulty cost should be assigned to the Florida plant and 42.86% assigned to the Texas plant. It is notable that P (F) represents the probability of the faulty detergent. This probability can be represented as follows:
The production manager has applied Bayes’ theorem to craft a fair method of allocation cost that is associated with production of defective products between the two production facilities (Peebles, 1993). Although the production manager was not certain of the exact cost that comes from each plant, the probabilities have been formed devoid of bias. Therefore, the company will be more decisive when allocating these costs between ...Download file to see next pagesRead More
Cite this document
  • APA
  • MLA
  • CHICAGO
(“Statical Data in a Business Essay Example | Topics and Well Written Essays - 500 words”, n.d.)
Statical Data in a Business Essay Example | Topics and Well Written Essays - 500 words. Retrieved from https://studentshare.org/statistics/1610422-statical-data-in-a-business
(Statical Data in a Business Essay Example | Topics and Well Written Essays - 500 Words)
Statical Data in a Business Essay Example | Topics and Well Written Essays - 500 Words. https://studentshare.org/statistics/1610422-statical-data-in-a-business.
“Statical Data in a Business Essay Example | Topics and Well Written Essays - 500 Words”, n.d. https://studentshare.org/statistics/1610422-statical-data-in-a-business.
  • Cited: 0 times
Comments (0)
Click to create a comment or rate a document
CHECK THESE SAMPLES - THEY ALSO FIT YOUR TOPIC
Business Data Analysis
The histograms were rendered using the graphing function of Microsoft Excel (2003). Figure 1.1. Histogram for the First and Second Quarter Average Order Size Combined Figure 1.1. Relative Frequency Distribution for the First and Second Quarter Average Order Size Combined Order Size Intervals Frequency Relative Frequency 0-20 0 0.00 20-40 0 0.00 40-60 0 0.00 60-80 0 0.00 80-100 3 0.02 100-120 18 0.14 120-140 41 0.33 140-160 38 0.30 160-180 15 0.12 180-200 7 0.06 200-220 3 0.02 220-240 1 0.01   126 1 The histogram and the relative frequency distributions, separately for the first and second quarter are shown below: Figure 1.2.
12 Pages(3000 words)Essay
Business Data Analysis
Relevant tools from statistics and probability were applied to extract useful information from a vast data set, to identify trends and to take business decisions. Analysis of average order numbers and order size has provided the information that there is consistent increase in the number of daily orders and average daily order size over consequent quarters.
11 Pages(2750 words)Essay
BUSINESS DATA ANALYSIS
The industry consists of three profit centers based in Florida, Arizona and Pennsylvania whose operations are being examined separately. 3 Introduction 3 Methods 3 Results, Conclusions and Recommendations 4 Answer to Question 1 4 Answer to Question 2 8 Answer to Question 3 10 Answer to Question 4 13 Answer to Question 5 14 Answer to Question 6 15 Answer to Question 7 16 Answer to Question 8 17 General Discussion 18 References 19 Bibliography 19 Anderson, D.
11 Pages(2750 words)Essay
Business Data Analysis
It is a company that has been growing at a stable rate over the past few years. The ownership of the company is however concerned that the company takes its decisions on the basis of past experience and gut feeling only. Therefore they hire a professional business analyst who can formally analyze the business process within the industry.
12 Pages(3000 words)Essay
Data Warehouse, Data Mart and Business Intelligence
Many organizations are increasingly adopting data warehousing to enhance reporting and decision making. A data warehouse facilitates the integration of data from various sources, data sharing, and provides consistent, organized, relevant and timely information for decision-making.
4 Pages(1000 words)Essay
Data Warehouse Business Pla
This business plan will highlight the overview and structure of the business forming the basis of issue identification and strategic assessment. The business plan points out the infrastructure and information systems of the company and role in management and operation of data warehouses.
5 Pages(1250 words)Assignment
Identufy the six techniques for writing a successful narrative, and describe how this can be applied to one or more of the reading in Part 3 of your textbook
Why has the idea of story as entertainment persisted through the centuries? Because stories tell us about ourselves by helping us connect our stories
5 Pages(1250 words)Essay
Business Data Analysis
The negative sign however shows a negative relationship as expected between the two variables. That means that as age increase the number of hours worked reduces. The relationship between the two variables exists as the significance
7 Pages(1750 words)Essay
Data warehouse, data mart and business intelligence
warehouse that combines data from a variety of sources such as corporate databases or information systems and serves a range of front-end reporting, querying and analytic tools (Dayal, Castellanos, Simitsis, & Wilkinson, 2009). In addition, the data warehouse is a database of
2 Pages(500 words)Essay
Data warehouse and data mining in business
Different levels of data are represented differently. The expert information collected is then used to analyse the market in
5 Pages(1250 words)Essay
Let us find you another Essay on topic Statical Data in a Business for FREE!
Contact us:
+16312120006
Contact Us Now
FREE Mobile Apps:
  • About StudentShare
  • Testimonials
  • FAQ
  • Blog
  • Free Essays
  • New Essays
  • Essays
  • The Newest Essay Topics
  • Index samples by all dates
Join us:
Contact Us