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Question 1
Stayway annual revenues for the period of 16 years averaged £11,129,000 with a standard
deviation of £1,368,199. The highest revenue was £13,887,000 in 2013 and the lowest revenue
collected was £8,221,000 in 2003. This was minimal standard deviation since it was significantly
below the mean. It also implies that there were minimal fluctuations in the revenues over the 16
years of operation. The skewness for the revenues was -0.21, implying that recent years have had
higher revenues. This also confirms the upward growth of the revenues, which is consistent with
inference derived for the range being higher than the standard deviation.
Table 1: Stayway UK Annual Revenues (£000's)
Mean
Median
Std. Dev.
Skewness
Range
Minimum
Maximum
11129
11145
1368.199044
-0.2133
5666
8221
13887
The 10-year period between the highest and the lowest revenues experienced consistent increase
in revenues as shown in figure 1 below. There was a general increasing trend in the revenues for
the company, with minimal fluctuations assumed to be caused by external factors.
Figure 1: Stayway UK Annual Revenues (£000's)

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Question 2
Correlation analysis is important in showing the direction and strength of a linear relationship
between variables. There was a strong positive correlation between the GDP and annual revenues
of Stayway (r = 0.731). This implies that as the GDP increased, there was an increase in the
company’s annual revenues. This was likely due to the fact that an increase in economic output
also leads to increased purchasing power, hence higher revenues. Similarly, Disposable income
had a strong positive linear relationship with the Stayway’s annual revenues (r = 0.621).
Therefore as disposable income increased, the customers made more sales leading to increase in
the revenue. Additionally, there was a moderate positive linear relationship between
unemployment and annual revenues (r = 0.451). This is was an unexpected relationship since it
implies that as more people remain unemployed, the annual revenues at Stayway keep rising.
However, there was a strong inverse relationship between interest rates and revenues (r = -
0.728). Therefore, as interest rates increased, the revenues were likely to decrease to possibility
of reduced credit facilities. These correlations are shown in the table below:
Table 2: Correlations Table
DI (£bn's)
Revenues
(£000's)
GDP (£bn's)
DI (£bn's)
1
IR %
-0.470
Unemployme
nt (millions)
-0.038
Revenues
(£000's)
0.621
1
Question 3
The sales analyzed by region indicate that the South Eastern region including London had the
highest sales of £2,113,000 while Northern Ireland had the least sales amounting to £714,000.

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Question 1 Stayway annual revenues for the period of 16 years averaged £11,129,000 with a standard deviation of £1,368,199. The highest revenue was £13,887,000 in 2013 and the lowest revenue collected was £8,221,000 in 2003. This was minimal standard deviation since it was significantly below the mean. It also implies that there were minimal fluctuations in the revenues over the 16 years of operation. The skewness for the revenues was -0.21, implying that recent years have had higher revenues. This also confirms the upward growth of the revenues, which is consistent with inference derived for the range being higher than the standard deviation. Table 1: Stayway UK Annual Revenues (£000's) Mean Median Std. Dev. Skewness Range Minimum Maximum 11129 11145 1368.199044 -0.2133 5666 8221 13887 The 10-year period between the highest and the lowest revenues experienced consistent increase in revenues as shown in figure 1 below. There was a general increasing trend in the revenues for the company, with minimal fluctuations assumed to be caused by external factors. Figure 1: Stayway UK Annual Revenues (£000's) Question 2 Correlation analysis is important in showing the direction and strength of a linear relationship between variables. There was a strong positive correlation between the GDP and annual revenues of Stayway (r = 0.731). This implies that as the GDP increased, there was an increase in the company’s annual revenues. This was likely due to the fact tha ...
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