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Cereal: Calories vs.

Price

Group 5
Melissa Hoch Kathleen Lofley Tara Suarez Jeff Turner Kelsey Bench

Purpose of the Study

Purpose of the study: To determine if price of

cereal is related to its calorie content (specifically, as the calories go down and a cereal is considered "healthier", does its price go up?).

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Study Design

Study design: All cereals from a Smith's grocery

store were documented for brand, name, and price. From these, 160 were chosen to analyze through a random number generator. These 160 cereals were then analyzed for calorie content related to price.

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Data Collection

BRAND

PRICE

We collected data for 160 boxes of cereal, including the servings per box, calories per serving, and price.

Post Post Post Post Post Post Post Post
Post Post Post Post Kroger Post Post Kroger Post Post Post Post Post

Sesame Street Fruity Pebbles Cocoa Pebbles Honey Comb Golden Crisp Fruity Pebbles Cocoa Pebbles Cranberry Vanilla Fit Grape Nuts
Grape Nuts Great Grains Cranberry Almond Shredded Wheat (big) Honey Bunches of Oats Honey Crisp Medley with almonds Honey Bunches of Oats with almonds Honey Bunches of oats with strawberries Bite Size Shredded Wheat Great Grains Raisins, Dates & Pecans Great Grains Protein Honey, Oats & Seeds Great Grains Protein Cinnamon Hazelnut Raisin Bran Honey Bunches of Oats Granola

$3.99 $2.97 $2.97 $2.99 $3.79 $3.19 $3.19 $3.49
$4.29 $3.38 $3.74 $3.17 $2.49 $3.17 $4.29 $2.49 $3.38 $3.38 $3.38 $3.44 $3.59

Servings Per Box 11 12 11 11 12 16 15 9 12 8 9 17 13 16 12 9 8 8 7 12 5

CALORIES

110.00 110.00 120.00 130.00 100.00 110.00 108.00 220.00
210.00 180.00 157.00 120.00 130.00 130.00 126.00 170.00 210.00 220.00 230.00 190.00 250.00

Price Per Serving $0.36 $0.26 $0.28 $0.27 $0.33 $0.20 $0.22 $0.37 $0.37 $0.41 $0.40 $0.19 $0.19 $0.20 $0.36 $0.28 $0.41 $0.44 $0.46 $0.29 $0.66

* Only a portion of the data collection is shown.

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Quantitative Variable 1
Calories
Mean: 136 Standard Deviation: 41.48 5-Number Summary: Min: 60 Q1: 110 Median: 120 Q3: 162.5 Max: 289 Range: 229 Modes: 60, 80, 90, 100, 108, 110, 120, 126, 130, 150, 157, 160, 170, 180, 188, 190, 200, 210, 220, 230, 250, 289 Outliers: IQR: 52.5 Lower Fence: 31.25 Upper Fence: 241.25 Outliers: 250, 289

Quantitative Variable 1 Statistics

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Quantitative Variable 1
Calories per serving
60
50 Frequency 40 30 20 10 0 60 70 80 90 100 110 120 130 140 150 160 170 180 190 200 210 220 230

Calories
YOUR LOGO Page  6

Quantitative Variable 1
Quantitative Variable 1 Boxplot
Min: 60 Q1: 50 Median: 10 Max: 126.5

20.0

70.0

120.0

170.0 Calories

220.0

270.0
Lower fence: 31.250 Upper fence: 241.250

YOUR LOGO Page  7

Quantitative Variable 2
Price Per Serving
Mean: 0.29 Standard Deviation: 0.13 5-Number Summary: Min: 0.02 Q1: 0.20 Median: 0.28 Q3: 0.34 Max: 1.11 Range: 1.09 Modes: 0.11, 0.23, 0.29, 0.30, 0.32, 0.53 Outliers: IQR: 0.14 Lower Fence: -0.01 Upper Fence: 0.55 Outliers: 0.56, 0.62, 0.66, 1.1

Quantitative Variable 2 Statistics ($)

YOUR LOGO
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Quantitative Variable 2
Cereal Price per Serving
45 40 35 30 Frequency 25 20 15 10 5 0 $0.00 $0.05 $0.07 $0.09 $0.11 $0.13 $0.15 $0.17 $0.19 $0.21 $0.23 Price Per Serving

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YOUR LOGO

Quantitative Variable 2
Quantitative Variable 2 Boxplot
Min: 0.02 Q1: 0.20 Median: 0.28 Max: 1.11

$0.00

$0.20

$0.40

$0.60

$0.80

$1.00
Upper fence: 0.55

$1.20

Price Per Serving

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Correlation
Scatterplot
$1.20 $1.00 $0.80 $0.60 Linear (Scatterplot) $0.40 $0.20 $0.00 0.00 50.00 100.00 150.00 200.00 250.00 300.00 350.00 y = 0.0021x + 0.0125

Price Per Serving

Calories

Correlation Coefficient: r= 0.643523

Regression Line: y=0.0021x + 0.0125 YOUR LOGO

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• The biggest difficulty for members of our group was the amount of time it took for our data collection. Another difficulty was our lack of knowledge with Excel or Minitab. • The only surprise encountered by some was that the healthier cereals didn’t have a substantial difference in price.

Analysis

Threat of potential Bargaining power of • The histograms showed that the data is skewed entrants buyersright for both

sets of data. The standard deviations are extremely different the first one is 41.47 and the second is 0.13. The distance between

the standard deviations is vast.
• Correlation coefficient: 0.6435, this shows a moderately
Threat of substitutes positive linear correlation. Bargaining power of suppliers

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Interpretation & Conclusion
• From what our results showed, there is only a moderately positive correlation between price per serving and the amount of calories in boxed cereal. • The sample size does reflect the population, we collected data for 160 cereals, which is a large sample.

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Slides 2-3: Kathleen Lofley Slides 6,9: Jeff Turner Slides 11-12: Tara Suarez

Slides 13-14- Kelsey Bench
Slide 4,5,7,8,10 and Design: Melissa Hoch