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Welcome to Our

Presentation
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Application of Statistical Tools in

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Prepared For
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Lubna Rahman
Lecturer
Department of Finance
University of Dhaka


Prepared By
Name
Roll
Shahanaz Parvin 16-117
Taioba Islam 16-251

S.M. Nazrul Islam 16-107
Md.Abu Daud 16-099

Md. Milan Hossain 16-019
Mohammad Marjan 16-261

I am..
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MOHAMMAD MARJAN
16-261


Areas to Focus on
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Definition of statistics
Types of Statistics
Statistical Data
Statistical Tools
Case Study
Application of Statistical Tools



What is Statistics?
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The term statistics


Simply means data.

It is the science of collecting, organizing, presenting,
analyzing &interpreting data to assist in making more
effective decisions.

It is a process of analyzing a sample based on
which characterizes of a parameter can be identified.

Types of Statistics
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Two types-

Descriptive
Inferential
Method of organizing, summarizing,
& presenting data in an informative way
Method to estimate a property of a
population on the basis of a sample

a sample
I am..
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TAIOBA ISLAM
16-251


Statistical Data
Data are the facts and figures collected, summarized, analyzed, and
interpreted.

Population:
The amount of data collected from each & every target party.

Sample:
Sample is a representative part of the population.



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Classification of Data
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Data
Quantitative
Numerical
Qualitative
Non-numerical Numerical


Statistical Tools
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Mean
Median
Mode
Slandered Deviation
Coefficient of Variation
Correlation
Regression Analysis
Statistical Tools Contd
Mean:
The mean of a data set is the average of all the data values.

Median:
The median of a data set is the value in the middle when the data items
are arranged in ascending order.

Standard Deviation:
It is a measure of how much spread or variability is present in the sample.
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I am..
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MD. MILAN HOSSAIN
16-019


Case Study on-
Began its journey in 1851.
E entry through the establishment of the
Singer Sewing machine
Singer Bangladesh
Ltd
A subsidiary of British American Tobacco,
based in London.
It is one of the oldest and largest multinational
companies operating in Bangladesh.
British American
Tobacco
Bangladesh Company
Leading shoe retailers in our country.
Was founded in 1894 by Tomas Bata
B ATA Shoe
Bangladesh Ltd:
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Current Assets Analysis
16 0
500000000
1E+09
1.5E+09
2E+09
2.5E+09
2006 2007 2008 2009 2010
Current Assets Analysis Singer (X)
Current Assets Analysis BATBC (Y)
Current Assets Analysis
Year Singer (X) BATBC (Y)
2006 1314926287 67546964
2007 1364282367 673783245
2008 1873806868 676467480
2009 2131239364 673260852
2010 1388597492 668461522
n=5 8072852378 3367460063
Current Assets Analysis Contd
Com p any M ean

M edian Standered
Dev ision
Cof f icient
o f
V ariyion
Singer 161457 0
475 .6
1 3 885 9 7
4 9 2
3 6 6 6 2
13 9 9
2 2 . 7 0
7 %
BATBC 6 7 3 4 9
2 0 1 2 . 6
6 7 3 2 6 0
8 5 2
3 0 9 3 4 3
2. .55 9
4 5 . 9 %
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Evaluation:
Over all Singer has far more current asset than BATBC. But the amount
fluctuates highly in case of Singer than that of BATBC.
8.98E+16 3.83E+18
6.26E+21 8.48E+15
6.72E+21 8.85E+17
2.67E+22 5.34E+17
5.11E+21 2.53E+18
5.38E+21 3.83E+18
X X Y Y
I am..
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MD. ABU DAUD
16-099


Equity Analysis
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0
100000000
200000000
300000000
400000000
500000000
600000000
700000000
800000000
900000000
1E+09
2006 2007 2008 2009
Equity analysis Singer(X)
Equity analysis BATBC(Y)
Equity analysis
Year (n) Singer(X) BATBC(Y)
2006 336103088 320593350
2007 329341913 319812885
2008 372987641 327927749
2009 885987077 342714360
2010 1080830466 359966920
Equity Analysis (Contd)
Company Mean

Median

Standard
Deviation

Coefficient
o f
Variation

Singer

6 0 1 0 5 0
0 3 7
3 7 2 9 8
7 6 4
35 61 6 4
6 38..9
5 9 . 2 6
%
BATBC

33 4 2 0
3 0 5 2..8
3 2 7 9 2
7 7 4 9
17 0 8 7 2
7 5.5
51.13 %
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Evaluation:
Singer has far more equity than that of BATBC but the equity of Singer
changes very much over years which is not seen as much for BATBC.
7.02E+16 1.85E+14
7.38E+16 2.07E+13
5.20E+16 3.74E+14
8.12E+16 7.24E+13
2.30E+17 6.64E+14
5.07E+17 1.32E+15
X X Y Y
I am..
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SHAHANAZ PARVIN
16-117


Correlation
Measure the association
between two variables.
Coefficient of correlation: A
measure of the strength of
the relationship between two
variables


Revenue & Tax (Bata shoe
Bangladesh Ltd)
X= independent variable
(revenue).
Y = dependent variable (tax)







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Any relationship between the revenue and tax payment
of Bata shoe Bangladesh Ltd.

Correlation (Contd)

Year
Revenue(X)
(Bata Shoe
BD Ltd)

Tax(Y)
2010 5,663,090,394 199,000,000
2009 5,141,034,678 180,286,000
2008 4,623,312,077 170,219,000
2007 4,097,182,283 160,823,000
2006 3,605,567,170 150,137,000
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0
50,000,000
100,000,000
150,000,000
200,000,000
250,000,000
0 2,000,000,000 4,000,000,000 6,000,000,000
Revenue
Correlation
Tax(Y)
Coefficient of correlation:



= 0.989672291
High degree of positive
relationship between these two
variables.
If revenue increases, tax increases
and if revenue decreases, tax
decreases.


Characteristics of the coefficient of
correlation:
It can range from -1.00 to 1.00.
Values of -1.00 or 1.00 indicate perfect
and strong correlation.
Values close to 0.0 indicate weak
correlation.
Negative values indicate an inverse
relationship and positive values indicate a
direct relationship.
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2 2
Y Y X X
Y Y X X
r
Correlation (Contd)
The proportion of the total
variation in the dependent
variable that is explained
by the variation in the
independent variable.

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Coefficient of Determination (r
2
):
0.979451243 = 98%

Here 98% variability in the dependent
variable Y (tax) can be explained by
independent variable X (revenue).

Correlation (Contd)
I am..
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S.M. NAZRUL ISLAM
16-107


Regression analysis: An equation
that expresses the linear
relationship between two variables .
Estimates the unknown values of
one variable from known values of
another variable.
Measures the degree of correlation
that exists between the two
variables.
The average relationship between
X and Y can be described by a
linear equation Y=a + bX

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a
0
X
b
1 unit X
Regression Analysis
The Standard Error of Estimate: Measures the scatter, or dispersion, of the
observed values around the line of regression




Y = a + bx express the change in Y in terms of change in X.
b= Coefficient of regression /slope of regression line
a= constant


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2
) (
2
^
.

n
Y Y
s
x y
Regression Analysis (Contd)
=0.022727144

a = - b =66956383.8

So, the equation is, Y=66956383.8+0.022727144X
If revenue(X) increases by 1 core, tax (Y) will
increases by 0.022727144 core. If the value of
revenue is zero, the amount of tax will be
66956383.8
Error, e
i
= 21631016.39
r
2
= 98% ,as it is not 100%, there is some error.



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2 ) ( X X
Y Y X X
b

X
Y
Regression Analysis (Contd)
Point by point slope calculation:

average slope= 0.023721688, but b = 0.022727144
There are some other variables that can explain the variation in y
which have been skipped.


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Regression Analysis
(Contd)
Any Quarry


For Being with Us


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