I am struggling with how to answer this. It seems not enough information is given so it is really hard to agree or to disagree. (this is uni statistics)
Assume you are the Store Manager for Coles in Wagga at the beginning of December 2012. An accountant
in head offce has compared the monthly sales figures of 2012 with the average monthly sales figure of 2011.
Out of the 11 months in 2012 so far, only 5 have been above the 2011 monthly average. The accountant
has therefore recommended that the number of casual staff should be reduced for December in your store,
in order to make the net profit for 2012 be similar to 2011.
The Finance Manager has asked you to respond to the accountant's recommendation. Do you agree or

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asked by Lucinda
  1. You're right. There is not enough information. Were the other 6 months equal to or less than monthly sales for 2011?

    Need to figure the monthly average for 2011 to compare with 2012. If 2012 is is significantly lower, then you might want to consider the recommendation. However, if the 5 above average months were the last months of the year, it might be indicating an upturn. In that case, you might want to keep the staff.

    posted by PsyDAG
  2. this is pretty much what i thought.
    and also being december with xmas shopping etc...sales should usually be high making a profit also...??
    so many things not given in the question that really would determine and agree or a disagree.

    Thanks, wanted to make sure i was on the right track.

    posted by Lucinda

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