Activity 2: Analysing the data

Question

Base on the data you collected,

a) Calculate the percentage of increase in expenditure for each item in 2011 based on 2009.
b) Find the expenditure index for each item.
c) Determine the weightage of each item in percentage. Hence, or otherwise present your
weightages in the form of pie chart.
d) Find the value of expenditure composite index in the year 2011 based on year 2009.

Answer

P2011−P2009
a) % of increase ∈expenditure∈2011based on 2009= x 100 %
P 2009
Where P2011 = Average expenditure in 2011 and
P2009 = Average expenditure in 2009

Table 2a shows the calculation of the percentage increase in expenditure for each item in
2011 based on 2009.

Average Average
Item of expenditure expenditure P2011−P 2009
No year 2009, year 2011, % increase = x 100 %
expenditure, i P2009
P2009 P2011
1115.00−730.00
x 100 %=¿52.74
730.00
1 Food 730.00 1115.00 %
768.00−628.00
x 100 %=¿22.29%
2 House Rental 628.00 768.00 628.00
332.50−228.80
x 100 %=¿45.32%
3 Transportation 228.80 332.50 228.80
493.33−330.00
x 100 %=¿ 49.49%
4 Insurance 330.00 493.33 330.00
340.63−274.50
x 100 %=¿24.09%
5 House Bills 274.50 340.63 274.50
566.67−400.00
x 100 %=¿ 41.67%
6 Tuition Fees 400.00 566.67 400.00
800.00−500.00
x 100 %=¿60.00%
7 Childs Welfare 500.00 800.00 500.00
237.50−185.00
x 100 %=¿28.38%
8 Medical Fees 185.00 237.50 185.00
Table 2a
 Figure 2.1 is a bar chart that gives a clearer picture of the increase in expenditure of each item
in 2009 vs 2011.

Average Expenditure 2009 vs 2011

5000
4000
3000
2000
Expenditure

Average expenditure year 2009

1000
Average expenditure year 2011
0
(RM)

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Item of ependiture, i

Figure 2.1 Comparison of average expenditure for year 2009 vs 2011

P2011
b) Expenditure index for each item , I i=
P2009
Where P2011 = Average expenditure in 2011, and
P2009 = Average expenditure in 2009

Table 2b shows the calculation of expenditure index for each item.

Average Average P2011

Item of expenditure year expenditure year
No I i=
expenditure, i P 2009
2009, P2009 2011, P2011
1115.00
I i= =153
1 Food 730.00 1115.00 730.00
768.00
I i= =122
2 House Rental 628.00 768.00 628.00
332.50
I i= =145
3 Transportation 228.80 332.50 228.80
493.33
I i= =149
4 Insurance 330.00 493.33 330.00
340.63
I i= =124
5 House Bills 274.50 340.63 274.50
566.67
I i= =142
6 Tuition Fees 400.00 566.67 400.00
800.00
I i= =160
7 Childs Welfare 500.00 800.00 500.00
 237.50
I i= =128
8 Medical Fees 185.00 237.50 185.00
Table 2b
 P2009
c) Weightage, Wi =
∑ P2009
Table 2c shows the weightage calculation of each item.
Item of Average expenditure
No Weightage, Wi Degree= Wi x 360 °
expenditure, i year 2009, P2009
730.00
=22.28 % 80.21 °
1 Food 730.00 3276.30
628.00
=19.17 % 69.00 °
2 House Rental 628.00 3276.30
228.00
=6.98 % 25.14 °
3 Transportation 228.80 3276.30
330.00
=10.07 % 36.26 °
4 Insurance 330.00 3276.30
274.5 0
=8.38 % 30.16 °
5 House Bills 274.50 3276.30
400 .00
=12.21% 43.95 °
6 Tuition Fees 400.00 3276.30
500.00
=15.26 % 54.94 °
7 Childs Welfare 500.00 3276.30
185.00
=5.65 % 20.33 °
8 Medical Fees 185.00 3276.30
∑P2009= 3276.30

Table 2c(i)

TablTable 2c
 Figure 2.2 is the pie chart that shows the weightage of each item.

Weightage, Wi
20.33

80.21 Food
54.94 House Rental
Transportation
Insurance
House Bills
43.95 Tuition Fees
Childs Welfare
69.00 Medical Fees
30.16

36.26 25.14

Figure 2.2

d) Table 2c shows the weightage calculation of each item.

Table 2d
Item of Expenditure
No Weightage, Wi IiWi
expenditure, i index, I i
1 Food 153 22.28% 153 x 22.28 = 3408.84
2 House Rental 122 19.17% 122 x 19.17 = 2338.74
3 Transportation 145 6.98% 145 x 6.98 = 1012.1
4 Insurance 149 10.07% 149 x 10.07 = 1500.43
5 House Bills 124 8.38% 124 x 8.38 = 1039.12
6 Tuition Fees 142 12.21% 142 x 12.21 = 1733.82
7 Childs Welfare 160 15.26% 160 x 15.26 = 2441.6
8 Medical Fees 128 5.65% 128 x 5.65 = 723.2
∑Wi=100% ∑IiWi= 14197.85

Composite Index , Í =
∑ I i W i = 14197.85 =141.9785
∑ Wi 100

≈ 142.00