Assignment 1

Business Analytics (ISYS3374)

RMIT University

First name: Ishan Nath

Family name: Sharma

Student number: s3929617

Tutorial time: Wednesday, 09:30

Answer to 1.1

The above box plot represents the relationship between the Years Built and all the suburbs. In the
above figure, there are a lot of Outliers. There are upper outliers; three for the suburb Altona North,
three for Albert Park suburb and one for Melton suburb. This shows that most of the houses were
built before the presence of the outliers, i.e., there were only some houses built in the recent years
(around 2000). There is a lower outlier in the Melbourne suburb which shows that most of the
houses were built after the outlier value, i.e., around and after 2000. Only one house was built in
Melbourne around 1900, rest were built in and around 2000s.

Answer to 1.2

Page 1 of 9
 Assignment 1
Business Analytics (ISYS3374)
RMIT University

Houses Built per 50 Years

Frequency
350

300

250
Houses Built

200

150

100

50

0
1899 1949 1999 2049 More
Year Interval

This Histogram represents Houses built in a 50-year interval since 1850 to current time. X-axis
represents the interval of years, while Y-axis represents Number of houses built. This figure is
negatively skewed which shows that most of the houses were built in the recent years, as compared
to the initial years. Most number of houses were built between 1950-1999. Least number of houses
were built between 1850-1899. There was an upward trend in construction of houses from 1850 to
2000, but since 2000 there has been a decrease in the number of houses built.

Answer to 1.3

Page 2 of 9
 Assignment 1
Business Analytics (ISYS3374)
RMIT University

Variation in Price Overtime

Price
7.0

6.0

5.0
Price (in Millions)

4.0

3.0

2.0

1.0

0.0
1850 1890 1890 1900 1900 1910 1920 1940 1950 1955 1960 1965 1970 1970 1975 1980 1997 2000 2004 2006 2009 2011 2012 2014
Year Built

The line chart represents fluctuation in price of houses with regards to every year. The X-axis
represents the Year Built and the Y-axis represents the price of the house in millions. There have
been a lot of fluctuation in price overtime. The price of a house in the year 1890 was the highest at
6.5 million. The price of a house was the lowest in the year 1970 at 0.2 million. There was not much
fluctuation in price in the period 1960-1970. There was a high degree of fluctuation in price during
1920-1930.

Answer to 2.1
Average of Max of Min of
Suburb BuildingArea BuildingArea BuildingArea
Abbotsford 109.24 210 38
Albert Park 128.57 291 34
Altona North 154.15 560 70
Attwood 201.50 278 36
Bayswater North 150.75 193 115
Brunswick East 117.03 298 34
Deer Park 128.14 148 101
Fitzroy 114.43 291 42
Kew 197.66 1022 0
Melbourne 76.19 213 41
Melton 144.71 280 19
North
Melbourne 89.22 276 0

Page 3 of 9
 Assignment 1
Business Analytics (ISYS3374)
RMIT University

Reservoir 120.76 558 0

Richmond 101.29 260 1
Grand Total 125.52 1022 0

The above pivot table shows the Average Building Area for each suburb, the Maximum Building Area
of each suburb and the Minimum Building Area of each suburb. The highest average building area is
for the suburb Attwood at 201.50. The lowest average building area is for the suburb Melbourne at
76.19. The highest maximum of building area out of all suburbs is of Kew with 1022, whereas the
lowest is for Bayswater North at 193. The highest minimum of building area is for the suburb
Bayswater North at 115, whereas the lowest if not Kew, North Melbourne and Reservoir at 0.

Answer to 2.2
Average of
BuildingArea Housing Type
Grand
Suburb h t u Total
65.8
Abbotsford 119.03 6 109.24
52.0
Albert Park 135.98 0 128.57
77.00 79.0
Altona North 161.73 0 154.15
Attwood 201.50 201.50
Bayswater North 150.75 150.75
119.9 66.1
Brunswick East 131.32 8 0 117.03
Deer Park 128.14 128.14
103.0 68.0
Fitzroy 148.56 0 0 114.43
237.80 107.3 89.0
Kew 5 6 197.66
76.1
Melbourne 9 76.19
Melton 144.71 144.71
66.1
North Melbourne 125.38 96.33 5 89.22
101.4 76.4
Reservoir 140.52 1 3 120.76
118.15 120.3 70.1
Richmond 1 2 101.29
108.3 72.8
Grand Total 150.88 0 4 125.52

Page 4 of 9
 Assignment 1
Business Analytics (ISYS3374)
RMIT University

In the above figures, ‘h, stands for House, ‘t’ stands for Townhouse and ‘u’ stands for Unit.

The pivot table above shows Average of Building area of each housing type for each suburb.
The average building area of a house is the highest in Kew at 237.80 and the lowest in Richmond at
118.15. The average building area of a townhouses is the highest in Richmond at 120.31 and the
lowest is in Altona North at 77.00. The average building area of a unit is the highest in Kew at 89.06
and the lowest is in Albert Park at 52.00.
It is noticable that Townhouses are built in the least suburbs whereas, the most type of housing is a
House which is built in most suburbs. Also, Melbourne only has Units as a type of housing and
Attwood, Bayswater North, Deer Park and Melton only have House as a type of housing.
Kew suburb has the most average building area for both houses and units.

Answer to 2.3

The pivot table above shows the Average Building Area for all suburbs, in a 20-year interval from
1850-2017. There were not many suburbs where houses were built in the years 1850-1869. There
was construction of houses in all suburbs in the years 1970-2009. The highest average building area
is in Fitzroy suburb during the 1850-1869 time period at 291.00. The lowest average building area is
in Albert Park suburb during the 1970-1989 time period at 34.00.

Average building area has been consistently decreasing in the suburbs Richmond, Reservoir, North
Melbourne and Fitzroy. The average built area is consistently increasing in the suburbs Melton, Kew,
Deer Park and Attwood. There has been an increase and then a decrease in the average building
areas of Reservoir, Melbourne, Brunswick East and Altona North.

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 Assignment 1
Business Analytics (ISYS3374)
RMIT University

Answer to 3.1
Assoication between Price and Building Area
7.0

6.0

5.0
Price (in Millions)

4.0

3.0

2.0

1.0

0.0
0 200 400 600 800 1000 1200
Building Area

The correlation coefficient of the above association is 0.570007 which shows an average correlation.
The diagram depicts an upward trend which shows a positive correlation.

The above scatter plot shows the association between price and building area. X-axis shows the
building area whereas the Y-axis shows the price in millions. It is noticeable that most of the values
lie between the interval where price is 2.5 million and the building area is 200. This shows that most
of the houses-built lie between these ranges of price and building area. This is a positively skewed
figure which shows that most of the observations lie to the left of the graph. There are a few outliers
like 1000 building area with price 2.0 million and 400 building area with price 6.5 million.

Answer to 3.2

Page 6 of 9
 Assignment 1
Business Analytics (ISYS3374)
RMIT University

Association between No. of Bedrooms and Building Area

14

12

10
No. of Bedrooms

0
0 200 400 600 800 1000 1200
Building Area

The correlation coefficient of the above association is 0.59277 which shows an average correlation.
The diagram depicts a slight upward trend in the values. Thus, this shows a weak positive
correlation.

The above scatter plot shows the association between No. of Bedrooms and building area. X-axis
shows the building area whereas the Y-axis shows the No. of bedrooms. It is noticeable that most of
the values lie between the interval where Bedrooms are 4.5 and the building area is 200. This shows
that most of the houses-built lie between these ranges of bedrooms and building area.

Answer to 3.3

Page 7 of 9
 Assignment 1
Business Analytics (ISYS3374)
RMIT University

Association between No. of Bathrooms and

Building Area
7
6
5
No. of Bathrooms

4
3
2
1
0
0 200 400 600 800 1000 1200
Building Area

The correlation coefficient of the above association is 0.538542 which shows an average correlation.
The diagram depicts a slight upward trend in the values. Thus, this shows a weak positive
correlation.

The above scatter plot shows the association between No. of Bathrooms and building area. X-axis
shows the building area whereas the Y-axis shows the No. of bathrooms. It is noticeable that most of
the values lie between the interval where bathrooms are 3 and the building area is 300. This shows
that most of the houses-built lie between these ranges of bedrooms and building area.

Answer to 3.4

Page 8 of 9
 Assignment 1
Business Analytics (ISYS3374)
RMIT University

Association between No. of Car Parks and Build-

ing Area
12
10
No. of Car Parks

8
6
4
2
0
0 200 400 600 800 1000 1200
Building Area

The correlation coefficient of the above association is 0.356904 which shows a weak correlation. The
diagram depicts no specific trend in the values, upward or downward. Thus, this shows no specific
correlation.

The above scatter plot shows the association between No. of Car Parks and building area. X-axis
shows the building area whereas the Y-axis shows the No. of Car Parks. It is noticeable that most of
the values lie between the interval where bathrooms are 2 and the building area is 300. This shows
that most of the houses-built lie between these ranges of bedrooms and building area.

Page 9 of 9