**Introduction :-**Adipose Limited is a producer of break fast cereals a major category of which are referred to as healthy breakfast cereals. At a recent board meeting it was deemed necessary to address a number of issues enumerated as follows:

1. Is there a trend towards healthy breakfast cereals that Adipose is missing out on?

2.How variable are Adipose’s sales of healthy breakfast cereals and how can this variation best be explained?

3. A problem was identified last year whereby a number of production lots failed government inspections with regard to package weights has the packaging problem now been adequately resolved?

4.This line of product i.e. healthy break fast cereals is only expected to be profitable if the price of a key ingredient high fructose corn syrup remains below $0.40 per kg can this situation reasonably be expected to continue this year?

**BALA201 Introduction To Business Analytics Assignment**

**At a recent board meeting it was deemed necessary to address a number of issues enumerated as follows:**1.Is there a trend towards healthy breakfast cereals that Adipose is missing out on?

2.How variable are Adipose’s sales of healthy breakfast cereals and how can this variation best be explained?

3. A problem was identified last year whereby a number of production lots failed government inspections with regard to package weights has the packaging problem now been adequately resolved?

4. This line of product i.e. healthy breakfast cereals is only expected to be profitable if the price of a key ingredient high fructose corn syrup remains below $0.40 per kg can this situation reasonably be expected to continue this year?

You have been hired as an analyst to conduct the necessary analyses and produce a report which addresses these issues in other words to answer each of the above four questions. Although you should carry out the required analyses in a technically rigorous and accurate manner consistent with the material covered in this subject the report will be read by the board of directors some of whom are from non technical backgrounds. Your report should therefore be written with a non-technical readership in mind. Formulas should definitely not be included only the results of calculations tabulated as appropriate.

**The consultancy you work for produces reports with a standard structure which you must adhere to. Consequently the report should have the following structure:**

**BALA201 Introduction To Business Analytics Assignment – Australia**

Note that this structure is slightly different to that shown in the Learning Co-Op reference a link to which has been provided on Moodle under Useful resources and which nevertheless is recommended that you study. The content that might normally appear in an Introduction in particular the terms of reference should in this assignment be included in the Executive Summary. The recommendations i.e. the answers to the above four questions should also be included in the Executive Summary. Bullet points are permitted in the Executive Summary provided their meaning is clear and unambiguous. Bullet points are not permitted anywhere else in the report.

**Marks**The assignment marks are allocated as follows:

Please refer to the separate marking guide on Moodle for more information.

**Detailed InstructionsDownload your data**Download your personalised data for this assignment.This data is in an Excel file which can be downloaded from Moodle under the link Assignment Data. If you are unsure how to do this see the link More info. The required data for each part can be found in the Excel worksheets as follows:

All the necessary data for this assignment has been provided for you in the above Excel file. This data is personalised in other words each student has different data. Make sure you use your own data and not another student’s data! Do not use any other data or information sources (for example Bloomberg current news items or other business reports).

**Part 1: Breakdown of sales by Healthy versus Other breakfast cereals**

Use pie area and line chart visualizations to compare the relative sales and sales growth in break fast cereals classified as either Healthy or Other i.e. all other breakfast cereals which are not Healthy. Include the following charts:

**a. A series of four Pie charts showing:**i. the percentage of sales made up of Healthy and Other breakfast cereals for Adipose Limited for 2012 2021

ii. the percentage of sales made up of Healthy and Other breakfast cereals for the industry as a whole for 2012-2021

iii. the percentage of sales made up of Healthy and Other breakfast cereals for Adipose Limited for 2021

iv. the percentage of sales made up of Healthy and Other breakfast cereals for the industry as a whole for 2021

b. Stacked area chart showing sales of Healthy breakfast cereals each year from 2012 to 2021 which distinguishes the contribution of Adipose Limited versus other industry members to total industry sales of Healthy breakfast cereals (i.e. two colours).

c. Line chart showing sales of Healthy breakfast cereals each year for Adipose Limited and the industry i.e. 2 lines on one plot from 2012 to 2021 with a secondary vertical axis in order to distinguish the relative growth rates.

Discuss your charts to address the first issue namely Is there a trend towards healthy breakfast cereals that Adipose is missing out on?

**Part 2: Analysis of weekly sales revenue**

Use descriptive statistics and regression analysis on the 2021 weekly sales numbers of Healthy breakfast cereals for Adipose Limited to address the second issue namely How variable are Adiposes sales of healthy breakfast cereals and how can this variation best be explained? This section should also include any recommendations regarding the best ways for Adipose Limited to increase sales revenue based on the result of your analysis. Include the following analyses and appropriate discussions thereof:

a. Table of descriptive statistics of weekly revenue including the mean median standard deviation inter quartile range minimum and maximum.

b. A histogram of weekly revenue use five bins of equal width based on the minimum and maximum revenue.

c. A regression of weekly sales on two explanatory variables: (i) price and (ii) a categorical variable representing the online advertising medium used in the relevant week either Facebook or Google Ads . Present the results in a suitably-formatted table showing only the features relevant to your discussion.

**BALA201 Introduction To Business Analytics Assignment **

**Part 3: Analysis of package weights**

**Perform a statistical analysis including the following:**a. Table of descriptive statistics of package weights including the mean median standard deviation interquartile range minimum and maximum.

b. A table showing calculations for a chi-square test of normality with bin upper limits in grams of 480, 490, 500, 510, 520, 530 and 540.

c. A hypothesis test that the average weight of a package is as claimed. Use a table to demonstrate the analysis showing the claimed weight sample mean standard error test statistic and critical value.

d. Based on the claimed normal distribution parameters calculate the probability that a single package will weigh less than 485 g and the probability of a failed inspection. A failed inspection occurs when three packages in a random sample of 50 weigh less than 485 g.

N.B. Do not include formulas in the main body of the report only the results of your calculations tabulated as appropriate. If you feel you must include formulas include them in an Appendix.

Use the results of your analysis to advise management regarding whether the problem appears to have been resolved or not.

**BALA201 Introduction To Business Analytics Assignment **

**Part 4: Predictive Analysis of High Fructose Corn Syrup Prices**

a. Produce present and discuss a multiple linear regression model and use it to forecast the price of High Fructose Corn Syrup (HFCS). The explanatory variables are a time trend the market price of corn and the market price of a substitute ingredient honey. To keep things simple do not assume any seasonality we are using annual data any way. Present the results in a suitably formatted table showing only the features relevant to your discussion.

b. Using your model forecast the price of HFCS as at assuming (i) the same market prices as at and (ii) the average of the market prices for the previous five years.

Use the results of your analysis to address the fourth issue where by profitability can only be sustained if the market price of HFCS remains below $0.40 per kg.

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