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