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Part 1 (b)

Question:

Record the items and their prices systematically as in Table 1. Since items may be differently

packed, be sure to use consistent measurements for each item selected so that comparison canbe done easily and accurately.

Below are the price of the listed items in s diff

Current shops: Tesco, Econsave and Jaya Jusco.

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Part 1 (c)

Question:(c) Create at least two suitable graphical representations (the use of ICT is encouraged) to

compare and contrast the prices of the items chosen.

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Graphical representation to compare and contrast the prices of the item chosen.

Part 1 (d)

Question:

(d) Based on the graphical representations that you have constructed in Part 1(c), interpret,

discuss and draw conclusions. Comments on your findings.

From the chart above, we can see that

1. The price of selected food are always lowest at Tesco.

2. The price of detergent at Tesco also very competitive, except Dynamo Regular (3kg),

where it is about 45% higher than Econsave and Jaya Jusco.

3. The price of selected stationaries at Tesco are also low compare with Econsave and Jaya

Jusco, except Faber-Castell Trip Grib 2B Pencil (Box of 12 pcs), where Econsave score the

lowest price (about 22% lower than Tesco and Jaya Jusco).

4. The total price of the selected item for food are about the same at the 3 shop. Econsave

score the lowest total price for detergent. The total price of stationary are about the

same for Tesco and Econsave but much higher at Jaya Jusco.

Conclusion:

The price at Tesco are competitive for most items. However, shoppers are advised to compare

prices between Tesco and Econsave, especially the high price item such as detergent. This is

because, at Tesco, sometime the price for certain items is abnormally higher than Econsave.

The price are less competitive at Jaya Jusco (especially stationary). However, for detergent and

food, the price difference is not obvious. Therefore, shoppers are advised to consider other

factors such as parking fee, transportation, time consuming and etc. before making decision.

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Part 1 (e)

Question:

(e) Identify an item that has a large price difference among the shops. Calculate the mean andthe standard deviation of that particular item. Hence, suggest and discuss possible reasons for

the price difference.

From the table above, the item that has large price difference is Dynamo Regular (3kg)

Detergent.

The mean of the price,

The standard Deviation = 2.60

The price difference is possibly due to Jaya Jusco and Econsave are doing promotion for this

item.

Part 2 (a)

Question:

Suggest a shop from Part 1 from which you would go to purchase the ingredients for the butter

cakes. State and discuss your reasons for purchasing from the shop you suggested.

I will purchase from Tesco because all the ingredient is the cheapest.

Part 2 (b)(i)

Question:Complete Table 2 with the prices of the items found in the shop/supermarket that you have

chosen.

(i) Calculate the price index for each of the ingredients in Table 2 for the year 2010 based on the

year 2009.

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Ingredient Quantity Price in Year

2009 (RM)

Price in Year

2010 (RM)

Price Index

Self Rising Flour 250g 0.9 0.9125 101.4

Sugar 200g 0.35 0.33 94.3

Butter 250g 3.3 4.245 128.6

Eggs (grade A) 5 1.25 1.795 143.6

Part 2 (b)(ii)

Question:

Calculate the composite index for making a butter cake in the year 2010 based on the year 2009.

Discuss how you obtained your answers.

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Part 2 (b)(iii)

Question:

In the year 2009, the butter cake was sold at RM15.00 each. Suggest a suitable selling price for the butter cake in the

year 2010. Give reasons for your answer.

or

From the composite index, we know that the cost of the ingredient has risen by 25.54%.

Therefore, the price of a butter cake should be adjusted upward by 25.54% (From RM15 to

RM18.80) so that we can keep our profit margin unchanged.

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Part 2 (c) (i)

Question:

Find out from reliable sources how to determine suitable capacity of air-conditioner to be

installed based on volume/size of a room.

Capacity of any cooling machine is known in 'ton'.Ton here means One ton of water(1,000kg).If

we take water which alreadycool at 0 degree centigrade and switch on the machine, then quantity

of ice produced in 24 hours(one day) will determine its capacity.If it produces one ton of ice then

capacity of machine is one ton.If it produces 100 kg of ice(solid) in 24 hrs then the capacity is

0.1 ton.

The capacity of air conditioner is given in BTU (British Thermal Unit) or HP (Horse Power).

The British thermal unit (BTU or Btu) is a traditional unit of energy equal to about 1.06kilojoules. It is approximately the amount of energy needed to heat 1 pound (0.454 kg) of water

1 °F (0.556 °C). It is used in the power, steam generation, heating and air conditioning industries.

In scientific contexts the BTU has largely been replaced by the SI unit of energy, the joule,

though it may be used as a measure of agricultural energy production (BTU/kg). It is still used

unofficially in metric English-speaking countries (such as Canada and the United Kingdom), and

remains the standard unit of classification for air conditioning units manufactured and sold in

many non-English-speaking metric countries.

In North America, the term "BTU" is used to describe the heat value (energy content) of fuels,

and also to describe the power of heating and cooling systems, such as furnaces, stoves, barbecue

grills, and air conditioners. When used as a unit of power, BTU per hour (BTU/h) is the correct

unit, though this is often abbreviated to just "BTU".

To determine the BTUs needed to cool a given space follow this procedure:

1. Calculate the total square feet to be cooled: Measure the size of the room (or rooms) to be

cooled, to obtain total square feet. Multiply room length by width for each room and if

there are multiple rooms, add the room areas together to get a single number.

2. Read the Base BTUs needed from Table below.The table below gives recommended air

conditioning BTU's necessary to cool a single room. The data in the table assumes that

the ceiling over the room is insulated and that the room is not over or is not itself a

special heat-producing area such as a kitchen or boiler room.

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1. Add additional BTUs for these factors:

a. + 4,000 BTUs for each room below a ceiling or roof which is not insulated

b. + 4,000 BTUs for a home or residential kitchen included in the cooled area

c. + 1,500 BTUs for each window which receives significant daily sunshine

d. + 1,500 BTUs for a room over a kitchen or boiler room IF the kitchen or boiler

room is actively producing heat during the cooling period

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e. + 600 BTUs per person over two, if more than two occupants will be occupying

the room during the cooling period

2. Subtract BTUs from the total required if these factors are present:

o - 1,000 BTUs if the room is on the shaded side of the building

Calculate the final total BTUh needed from the above steps. This should place you in the

right range of cooling capacity needed.

Note 1:

The guide given is base on a room of about 8 feet height. If the height of your school library is

about 8 feet (or 9), then you can use this guide. If your library has ceiling much higher than this

(usually happen to old building), then you can use the following guide:

Step 1: Measure the room. You will need to know the square footage of the room as well as the

height of the ceiling.

Step 2: Find the room's volume in cubic feet. Multiply the room's square footage by the height of

the ceiling. The total is the room's volume in cubic feet.

Step 3: Rate the room's insulation. Us numbers 2, 3 or 4. Very good insulation is rated 2, average

is 3, and 4 represents poor insulation.

Step 4: Multiply the room's insulation rating by the room's volume. This will give you the total

number of BTUs it takes to heat a room.

Step 5: Plus/Minus base on the factors given in previous guide.

Note 2:

In Malaysia, usually, we use HP (Horse Power) as the capacity of air conditioner. However, most

air conditioner give both HP and BTU as their cooling capacity. Therefore, calculation in both

HP and BTU is acceptable. You can convert BTU to HP by a factor of 42.44/minute or

2545/hour

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Part 2 (c) (ii)

Question:

(ii) Work in groups to estimate the volume of your school library. Explain how you arrive at your

answer. Hence, determine the number of air conditioners with the appropriate capacity requiredfor your library.

The volume of school library is 12,000 cubic feet, and it has an average insulation (which most

school library do), the library has 4 windows receiving significant sunlight, and we expect there

are in average 30 students at all time using the library everyday, the calculation of the Capacity

of the Air Conditioner is as below:

12,000 x 3 = 36,000 BTU/h (for a room of 12,000 cubic feet with average insulation)+ 4 x 1,500 BTU/h (for 4 windows receiving significant sunlight)

+ 30 x 600 BTU/h (for 30 students occupying the library)

= 60,000 BTU/h

So, you need air conditioners with total capacity 60,000 BTU/h for the library.

The next thing that we need to check is the capacity of the air conditioner and their price. The

information are easily found from HSL (Hock Sin Leong)'s official website.

We have chosen the

AIR COND-WALL SPLIT TYPE 2HP.

Cooling Capacity: 17,100 BTU/h

Price: RM 2,399

and

AIR COND-WALL SPLIT 1HP (Model SHP-AHAUP9LMV)

Cooling capacity: 9000 BTU/h

Price: RM1,199

In order to obtain cooling capacity of 60,000 BTU/h, you need 3 units of AIR COND-WALL

SPLIT TYPE 2HP and 1 unit of AIR COND-WALL SPLIT 1HP.

Therefore, the total price is RM 2,399 x 3 + RM 1,199 = RM 8,396

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Part 2 (c) (iii)

(iii) If your class intends to sponsor one air conditioner for the school library, how many butter

cakes must your class sell in order to buy the air conditioner?

If the selling price of the cake is RM18,80, the profit you make for selling each cake

= RM18.80 - (RM 0.9125 + RM0.33 + RM4.245 + RM1.795) = RM 11.5175 § RM11.

The price of the 4 units of air conditioner = RM 8,396. In order to buy the 4 units of air

conditioner, you need to sell

units of butter cake.

Part 3 (a)

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Part 3 (b)

Conclusion:

The overall budget for year 2010 should increase by 11.625% basing on the value

of composite index (111.625).

Part 3 (c)

Composite index of the budget for year 2011 based on year 2009

Further Exploration

Index numbers are designed to measure the magnitude of economic changes over time. Because they work in a similar way to percentages they make such changes

easier to compare.

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Importance of Index Numbers in Daily Life

The method of index number is used for measuring changes in price level. The

prices of base years are compared to the prices of the current year. It is also to note

the increase in prices. The consumers want to know the rate of inflation. Not tomention, to adjust wages and prices: An index number of cost of living can guide

us in the adjustment of wages to the changing prices. The laborers can demand

more wages on the basis of changes in price. The government can revise the pay

after regular periods. It can also determine the industrial production and business

activity. Index numbers may be helpful in judging the effect of certain policy

adopted by the government. To a businessman, they are helpful in comparing

production in his own business with that of industry. Index numbers are helpful to

measure the intelligence of the students. The teachers can check their efficiencythrough such index. The Government can want to the students and take remedial

measures for the improvement of students and teachers. Index numbers are helpful

in judging the changes in investment. The stock exchange prepares index numbers

to show investment made by the people from time to time. The investor can buy

and sell shares in order to earn more profit. It is also useful to note the changes in

employment level. The Government can increase the employment level by new

jobs. The increase in employment means the economy is developing. Decrease in

employment is alarming of the Government to take remedial measure

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