Wednesday, 31 December 2014

Examples of Unprocessed Data

Examples of Unprocessed Data

Data is basically unprocessed information and therefore cannot be generally used for decision making. Therefore data is processed for decision making. Data processing may include but not limited to the classification, sorting, applying different mathematical processes and formula on data and presentation of data.

Example # 1

The data collected and provided to you that total number of vehicle passing the bridges is 10,000 per day and tool for the bridge crossing is $ 2, $ 4, and $ 6 for the cars, wagons and Trucks respectively. The contract price of bridge toll collection is 8 million Dollars. What should be the bid price?

In above information data is need to be further processed for decision making because unless and until the number of vehicles crossing the bridges is categories into cars , wagons and trucks, It is not possible to make an appropriate decision about the bidding price.

 if the data is processed and information is generated like that the there are 2000 cars , 4000 wagons and 4000 trucks are crossing the bridge ,then this information can be used for decision making.

Example # 2

There are two products A and B which has the direct material cost $ 2 and $ 4, direct labor cost $ 4, $ 2 and direct Expenses $ 5, $ 2. Set the selling price for the product.

The data presented above to the management is not in the form to facilitate decision making, management need product price for setting price and ideally the data must further be processed to facilitate decision making. The following presentation of data is more relevant to for decision making.


Product A
Product B
Direct  material
$ 2
$ 4
Direct Labor
$ 4
$ 2
Direct Expenses
$ 5
$ 2

$11
$8

Example # 3

Management was informed that during the year revenue remained $ 205 million and the salaries expenses for the year were $ 31, selling expenses $ 25, financial expenses $ 56, Administration expenses $ 45. The management is required to assess the performance of the organization.

The data presented above is need further processing for performance evaluation and data is ideally be processed and presented as follow.

Revenue
 $ 205
Less :Expenses ($ 31+$25+$56+$45)
 $ 157
Profit
$   48


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