LETTER OF TRANSMITTAL

August 19, 2018.

The Course Teacher,
Kazi Omar Siddiqi
Assitant Professor,Comilla university
Subject: Prayer for granting our term paper.
Dear Sir,
By the grace of almighty Allah, the most benevolent and merciful, we have been
successful to complete this term paper.
Here is the term paper on “Comparison: Budget FY 2015-16 & 2016-17”. You
assign us to prepare it. Preparing of this term paper help us to gather experience
and knowledge that would be needed for us to meet today’s challenging job
market and to prepare for exam.

We have tried our best to make the term paper comprehensive and reliable within
the given time period. Nevertheless, some mistake might be occurred, please notice
this type of unconscious mistake with sympathy. Your suggestion and comment for
the improvement of this term paper will be thankfully received and if you needed
any quires about the study, please call us.

Sincerely yours

Khaleda Parvin
(Group Leader)

ACKNOWLEDGEMENT
By the grace of Allah we have completed our Term paper on “Comparison:
Budget FY 2015-16 & 2016-17”. At first a special thanks goes to our honorable
course teacher.

We have tried to our best to make the term paper comprehensive and reliable
within the given time period. Nevertheless, some mistake might be occurred,
please notice this type of unconscious mistakes with sympathy and pardon. Your
suggestions and comments for the improvement of this term paper will be received
thankfully and if you need any quires the study, please inform us.

Yours faithfully
Khaleda Parvin
Group leader,
On behalf of the group no- 2
Introduction
. The Word statistics have been derived from Latin word “Status” or the Italian word “Statista”,
meaning of these words is “Political State” or a Government. Shakespeare used a word Statist is
his drama Hamlet (1602). In the past, statistics was used by the rulers. The application of
statistics was very limited but rulers and kings needed information about lands, agriculture,
commerce, population of their states to assess their military potential, their wealth, taxation and
other aspects of government.
Definition of statistics
A branch of mathematics dealing with the collection, analysis, interpretation, and presentation
of masses of numerical data.

Statistics has been defined differently by different writers.

 
According to Bowley statistics are "Numerical statements of facts in any department of enquiry
placed in relation to each other." 

According to Yule and Kendall, statistics means quantitative data affected to a marked extent by
multiplicity of causes

The above definitions clearly points out certain characteristics which numerical data must
possess in order that they may be called statistics. These are as follows:

1. Statistics are aggregates of facts: Single and isolated figures are not statistics because they
cannot be compared and no meaningful conclusion can be drawn from it. It is the only aggregate
of facts capable of offering some meaningful conclusion that constitute statistics.
(All statistics are expressed in numbers but all numbers are not statistics)

2. Statistics must be numerically expressed: Statistical methods are applicable only to those data
which can be numerically expressed. Qualitative expressions like honesty, intelligence, sincere
are not statistics unless they can be numerically expressed.
3. Statistics should be capable of being related to each other: Statistical data should be capable of
comparison and connected to each other. If there is no apparent relationship between the data
they cannot be called statistics.

4. Statistics should be collected in a systematic manner: For collecting statistical data a suitable
plan should be prepared and work should be done accordingly.

5. Statistics should be collected for a definite purpose: The purpose of collecting data must be
decided in advance. The purpose should be specific and well defined.

6. Statistics are affected to a marked extent by a large number of causes: Facts and figures are
affected to a marked extent by the combined influence of a number of forces.

7. Reasonable standard of accuracy should be maintained in collection of statistics: Statistics

deals with large number of data. Instead of counting each and every item, Statisticians take a
sample and apply the result thus obtained from sample to the whole group. The degree of
accuracy of sample largely depends upon the nature and object of the enquiry. If reasonable
standard of accuracy is not maintained, numbers may give misleading result.

Functions of Statistics:
The functions of statistics are as follows:

1.It presents fact in a definite form:

Numerical expressions are convincing and, therefore, one of the most important functions of
statistics is to present statement in a precise and definite form.

2. It simplifies mass of figures:

The data presented in the form of table, graph or diagram, average or coefficients are simple to
understand.

3. It facilitates comparison:
Once the data are simplified they can be compared with other similar data. Without such
comparison the figures would have been useless.

4. It helps in prediction:
Plans and policies of organisations are invariably formulated in advance at the time of their
implementation. knowledge of future trends is very useful in framing suitable policies and plans.
5. It helps in formulating and testing hypothesis:
Statistical methods like z-test, t-test, X2-test are extremely helpful in formulating and testing
hypothesis and to develop new theories.

6. It helps in the formulation of suitable policies:

Statistics provide the basic material for framing suitable policies. It helps in estimating export,
import or production programmes in the light of changes that may occur.

7. Statistics indicates trend behavior :

Statistical techniques such as Correlation, Regression, Time series analysis etc. are useful in
forecasting future events.

Limitations of Statistics:

Limitations of statistics are as follows:

1. Statistics deals only with quantitative characteristics:

Statistics are numerical statements of facts. Data Which cannot be expressed in numbers are
incapable of statistical analysis. Qualitative characteristics like honesty, efficiency, intelligence
etc. cannot be studied directly.

2. Statistics deals with aggregates not with individuals:

Since statistics deals with aggregates of facts, the study of individual measurements lies outside
the scope of statistics.

3. Statistical laws are not perfectly accurate:

Statistics deals with such characteristics which are affected by multiplicity of causes and it is not
possible to study the effect of these factors. Due to this limitation, the results obtained are not
perfectly accurate but only an approximation.

4. Statistical results are only an average:

Statistical results reveal only the average behavior. The Conclusions obtained statistically are
not universally true but they are true only under certain conditions.

5. Statistics is only one of the methods of studying a problem:

Statistical tools do not provide the best solution under all circumstances.

6. Statistics can be misused:

 The greatest limitation of statistics is that they are liable to be misused. The data placed to an
inexperienced person may reveal wrong results. Only persons having fundamental knowledge of
statistical methods can handle the data properly.

Definition of business statistics

Business statistics is the science of good decision making in the face of uncertainty and is used in
many disciplines such as financial analysis, econometrics, auditing, production and operations
including services improvement and marketing research".

Uses Of Statistics In Business Organization

Even the most basic of statistics that a student learns in school like the mean, mode, and median
can go a long way in the world of business. Finding the mean orthe average of a group of
numbers is quite significant in business. There are several ways in which statistics plays a role in
business.

Management Of Performance–

As mentioned earlier, theimportance of statistics in management is significant; withthe help of

statistics, a manager can analysethe performance or the productivity of employees like the units
produced or the task completed. The manager can use the data in sync with statistical techniques
to improve the productivity of the workforce and multiply the production.

Alternative Scenarios–
The task or the function of a manager does not end after increasing the productivity of the
employees.A manager has to participate with the other managers from different department for
decision making. The decision can be on the choice of particular software, systems for customer
automatic ordering systems, etc.

Data Collection–
The data that is collected for the purpose of processing with the statistical tools must be done in
an ethical manner, otherwise, the result of the analysis will be false and non-beneficial. With the
help of these data, comparisons can be drawn if the actual sales were less or more than the
projected sales or the future capital requirement for the fulfilment of a huge order.

Research And Development–

Thescope of statistics in businessalso extends to marketresearch and product development. This
is one of the most important functions of statistics, as a sample group is observed and their
response to a product is tested anddata collected. This data is essential in the determination of the
launch of new products and the development of it.

Research And Development–

The scope of statistics in business also extends to market research and product development.
This is one of the most important functions of statistics, as a sample group is observed and their
response to a product is tested and data collected. This data is essential in the determination of
the launch of new products and the development of it.

Role Of Statistics In Business Decision Making

A manager should have the ability to look at data and make predictions regarding the future of
the business or a specific department. It is done with the help of statistics and statistical concepts.
Those days are gone when business decisions were made out of hunch or experience of the past
similar circumstance. Today, every decision needs to be backed by concrete empirical data.
Following are the points that relate statistics and decision making.

The Big Picture–

Statistics helps a businessin getting the big picture with the help of the analysis of the sample
population. It can significantly reduce the cost of market research with relatively accurate
informationabout the market. Statistics do not require a lot of time and it is very cost effective.

Support Of Judgment

It helps to create assertion in the decision. A decision that is backed by empirical data is more
reliable and the manager can easily convince their superiors about the decision.

Relationship–

With the analysis of data, the relationship between variables can be established. Like the effect
on sale due to seasonal change, the effect on sale in comparison with the discount offered. A
more detailed analysis of statistical data canreveal several things like the behaviour and the
preference of the consumer.

Ensures Quality–
Examples of statisticsin business are Six Sigma and Lean Manufacturing; these statistical tools
are extremely useful in business. Statistics makes it possible for the business to produce goods
with limited variations and wastage; it also helps increase the productivity of the workers. Thus,
saving money and ensuring the best quality with optimum utilisation of resource.

Importance of Business Statistics

Business Statistics helps a business to:

*Deal with uncertainties by forecasting seasonal, cyclic and general economic fluctuations

*Helps in Sound Decision making by providing accurate estimates about costs, demand, prices,
sales etc.

*Helps in business planning on the basis of sound predictions and assumptions

*Helps in measuring variations in performance of products, employees, business units etc.

*It allows comparison of two or more products, business units, sales teams etc.

*Helps in identifying relationship between various variables and their effect on each other like
effect of advertisement on sales

*Helps in validating generalizations and theoretical concepts formulated by managers Also

Check Out.

http://www.bbamantra.com/business-statistics-importance/

Limitation of business statistics

Business statistics can be a powerful tool for diagnosing problems in your business. However,
statistics are not a panacea. Limitations in the ability of statistics to answer question about our
businesses and the inherent limitation in our ability to understand statistics reduce their
applicability. Understanding some common pitfalls of business statistics can help you identify
where these figures could be leading you astray in your company.

Difficulty of Understanding
Research has shown that people have a difficult time thinking statically. The idea that a statistic
is part of a distribution of possible figures is relatively unintuitive. As such, business owners tend
to neglect characteristics such as base rates. Say a company has designed a test to detect fraud
that is 99 percent accurate. If the proportion of fraud in the entire population is only 1 in 1,000,
the chance that you have detected fraud is much lower. In fact, the probability of fraud existing,
given a positive test result, is only 9 percent. Because the base rate of fraud is so low, a positive
test result cannot give us much insight into the actual chance that fraud has occurred.

Frequency
Statistical tests in business are often conducted from a frequentist approach, which may not be
representative of the questions we are asking. In production processes, this often takes the form
of a tolerance for error. Say a company produces sheets of metal that are 3 mm thick. The
company may say that sheets within the 2.95 mm to 3.05 mm range of thickness are acceptable.
If the company is producing 3.02 mm thick sheets, the sheets are acceptable based upon the
company's quality standards and, statistically speaking, this may be not be significantly greater
than 3 mm. However, overweighting in production could cost the company money.

Small Sample Sizes

In general, people tend to poorly determine the effect of sample size when the sample size is
small. For example, a foreman may have the choice to complete a small production run of bottles
daily or a larger run every other day. The company considers a production run successful when
fewer than 1 percent of bottles are defective. All else constant, most think that it is equally likely
to exceed the 1 percent threshold using either size of production run. However, in smaller
production runs, random fluctuations have a larger effect of the total number of defects. In larger
runs, these fluctuations tend to even themselves out.

Outcome Bias
When using statistics as a business diagnostic tool, managers tend to suffer from outcome bias.
For example, managers may use the percentage of defective products to determine if a
production process is sound. If many defects are found, managers will usually investigate the
process and try to determine the source of the problem. However, it does not make sense to
investigate low numbers of defective products. When the defective product count is inconclusive,
the manager has to choose whether to investigate. Research has shown that if the manager
investigates the defects and finds no systematic problem in production, management will be less
satisfied with the manager's performance than if he uncovered a problem. This occurs even
though the manager had no notion of the outcome of his investigation before he started i