Question
The following summary table presents the breakdown of the price of a new college textbook: Revenue Category Percentage (%) Publisher 64.8 Manufacturing Costs 32.3 Marketing
The following summary table presents the breakdown of the price of a new college textbook:
Revenue Category | Percentage (%) | |
Publisher | 64.8 | |
Manufacturing Costs | 32.3 | |
Marketing and promotion | 15.4 | |
Administrative costs and taxes | 10.0 | |
After-tax profit | 7.1 | |
Bookstore | 22.4 | |
Employee salaries and benefits | 11.3 | |
Operations | 6.6 | |
Pretax profit | 4.5 | |
Author | 11.6 | |
Freight | 1.2 |
a) Using the four categories of publisher, bookstore, author, and freight, construct a bar chart, a pie chart, and a Pareto chart.
b) Using the four subcategories of publisher and three subcategories of bookstore, along with the author and freight categories, construct a Pareto chart.
c) Based on the results of (a) and (b), what conclusions can you reach concerning who gets the revenue from the sales of new college textbooks? Do any of these results surprise you? Explain.
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