Descriptive statistics is appropriate in this case, because of its ability to evaluate the central tendency and dispersion, using mean, mode and median. A total of 385 participants were randomly selected to give their views about whether or not the future profits at Home Depot are influenced by interest rates and sales. The standard deviation for interest rates: 7.836266 was less than the mean: 9.695538 suggesting that they fall towards the mean (table 2). It also means that the statistical test is valid. The distribution in this case is a $#$#1$#$# because values are closer to the mean. Figure 3 which represents the sales against interest rates exhibits an upward trend when it comes to sales over the interest rates (figure 3).
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In this regard, sales were observed between $0.00 and $89.00. Variations in the federal interest rates could help determine sales at XYZ Construction Company. High interest rates are highly likely to curtail any profit making from lack of sales. While low interest rates by the federal government may lead to skyrocketing sales. The average sale was $8 with a standard deviation of $10.15. Roughly, more than 50 percent of data values were above $8. It becomes evident based on the statistical data to suggest that sales lie between $0 and …show more content…
The same is evident in the scatter plot (Figure 1). The skewedness of both interest rates and sales demonstrate that the perfection cannot be achieved at 100%.
Figure 3: Bar showing Interest Rates & Sales
Bar chart showing Home Depot interest rates and sales
From the chart above, it becomes evident how sales were above 40 on seven instances. However, interest rates were above 40 on three instances.
Figure 4: Scatter Plot showing Sales
Scatter Plot showing Home Depot sales and interest rates
Associations have two critical attributes: strength and vector. Because the variables in the scatter plot are moving in opposite directions, it demonstrates a negative association, hence as the interest rates increase, the sales decrease and vice versa (Kyunghee, 2001).
Appendix C
Descriptive Statistics
Descriptive statistics showing Home Depot Interest Rates
Table 2: Interests
In this regard, sales were observed between $0.00 and $89.00. Variations in the federal interest rates could help determine sales at XYZ Construction Company. High interest rates are highly likely to curtail any profit making from lack of sales. While low interest rates by the federal government may lead to skyrocketing sales. The average sale was $8 with a standard deviation of $10.15. Roughly, more than 50 percent of data values were above $8. It becomes evident based on the statistical data to suggest that sales lie between $0 and …show more content…
The same is evident in the scatter plot (Figure 1). The skewedness of both interest rates and sales demonstrate that the perfection cannot be achieved at 100%.
Figure 3: Bar showing Interest Rates & Sales
Bar chart showing Home Depot interest rates and sales
From the chart above, it becomes evident how sales were above 40 on seven instances. However, interest rates were above 40 on three instances.
Figure 4: Scatter Plot showing Sales
Scatter Plot showing Home Depot sales and interest rates
Associations have two critical attributes: strength and vector. Because the variables in the scatter plot are moving in opposite directions, it demonstrates a negative association, hence as the interest rates increase, the sales decrease and vice versa (Kyunghee, 2001).
Appendix C
Descriptive Statistics
Descriptive statistics showing Home Depot Interest Rates
Table 2: Interests