Purpose: To apply the use of graphs for categorical and numerical data. In Statistics, time charts are used to track many things, for example, organizations track annual revenues by year for past performance, they then use past, present and future economic indicators (i.e., inflation, interests, commodity rates, political climate etc.) to forecast future revenue performance. Complete the below questions and worksheet.

Scenario

Let's assume that a small business created an app that is sold for use on mobile devices. Each year, the product has increased in functionality and price.

The original business case for the product estimated that product revenue would be $75,000 by the year 2022 based on their forecast of at least 3% per year increase. However, the actual results have not matched expectations.

Using the data set in the table below, enter the values in an Excel spreadsheet.

Figure 1 Revenue by Year

Year	2015	2016	2017	2018	2019	2020	2021	2022
Revenue	$60,000	$62,000	$64,000	$65,000	$66,000	$67,500	$68,000	$68,400
Change
Change %

Question 1 - Analyze the Data

a) In your Excel spreadsheet calculate the missing two rows of numbers for "Change" and "Change %". Insert your spreadsheet (or a snippet of it) below.

b) Identify the two years with the steepest monetary increases.

c) Explain how you determined this: for example, did you use Actual Revenue Increase or the Percentage Increase? Why did you choose that method?

Question 2 - Graph the Data

Create a graph that shows the revenue per year.

a) What type of graph or chart did you use? Why?

b) What scale did you use for the vertical axis on your graph. Why?

c) Paste a copy (or a picture) of your graph here:

Figure 2 Percent Change in Price shows the rate of change from one year to the next. For example, in the first year there was a 3.3% increase in revenue. The chart in Figure 1 seems to show a dramatic change from year to year even though the changes in percentage were relatively small.

Figure 2 Percent Change in Price

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