6/1/2015 Acc 522 Statistical Methods for Business Decisions (Gangolly/Dutta) 1 Introduction to Statistics for Business Decisions Jagdish S. Gangolly &

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6/1/2015 Acc 522 Statistical Methods for Business Decisions (Gangolly/Dutta) 1 Introduction to Statistics for Business Decisions Jagdish S. Gangolly & Saurav Dutta Department of Accounting & Law State University of New York at Albany

6/1/2015Acc 522 Statistical Methods for Business Decisions (Gangolly/Dutta)2 Introduction Statistics helps us get information from data Statistics can be used to  Get a description of data in graphical form to help us extract information (Descriptive Statistics) (Gangolly)  Draw inferences from data (Inferential Statistics)(Dutta)

6/1/2015Acc 522 Statistical Methods for Business Decisions (Gangolly/Dutta)3 Descriptive Statistics Example: FASBs Changes in Financial accounting Standards Representation of data in an adjacency matrix S-Plus program to represent it visually

6/1/2015Acc 522 Statistical Methods for Business Decisions (Gangolly/Dutta)4 Adjacency matrix Rows & Columns represent standard, the frequencies are the number of changes made by row standard to the column standard

6/1/2015Acc 522 Statistical Methods for Business Decisions (Gangolly/Dutta)5 The Program  > n <- 131  > x <- cos(1:n * (2*pi/n))  > y <- sin(1:n * (2*pi/n))  > mat <- as.matrix(mymatrix)  > from <- row(mat)[mat==1]  > to <- col(mat)[mat==1]  > plot(x,y)  > text(x*1.05,y*1.05,1:n)  > arrows(x[from],y[from],x[to],y[to])

6/1/2015Acc 522 Statistical Methods for Business Decisions (Gangolly/Dutta)6 Descriptive Statistics: An Example: The Graph

6/1/2015Acc 522 Statistical Methods for Business Decisions (Gangolly/Dutta)7 Visual Delights I: Mapuccino (Hyperbolic Tree) The source for the following slides is:

6/1/2015Acc 522 Statistical Methods for Business Decisions (Gangolly/Dutta)8 Visual Delights II: Cheesemap of France

6/1/2015Acc 522 Statistical Methods for Business Decisions (Gangolly/Dutta)9 Visual Delights III: Multivariate Starplot Variables: Price, Gear Ratio and Turning Circle

6/1/2015Acc 522 Statistical Methods for Business Decisions (Gangolly/Dutta)10 Visual Delights IV: Mapping temporal Patterns

6/1/2015Acc 522 Statistical Methods for Business Decisions (Gangolly/Dutta)11 Visual Delights V: Correlogram

6/1/2015Acc 522 Statistical Methods for Business Decisions (Gangolly/Dutta)12 Visual Delights VI: Animated Tri-plot