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Hello sir,could you please explain the method of percentage calculation to analyse the trend for both the moist and dry food in the ACCA answer?
Thanks in advance.
For example:
2007, total sales = 662 (=370 + 292). Of this 370/662 = 55.89% is for moist food and 100 – 55.89 = 44.11 is for dry.
Similarly for other years.
Does that answer your question?
Yes,thanks.
1) Is there any other way of analysing the trend apart from the percentage calculation?
2) What is the method of the tonnes calculation in the sentence {Although Noble Pets share of this market remains the same 30%,this is a reduction in real terms of 111,000 to 93,000 tonnes}
I would have considered drawing a graph as that can easily show how increases/decreases are accelerating or slowing.
I think the key things to analyse are:
1 Total market size (declining/stagnant)
2 The change in mix (moist to dry)I don’t think much else can be done with the data.
The market for moist has declined from 370 to 310 and Noble has a constant 30% of that so its sales will have gone from 370 x 30% = 110 to 310 x 30% = 93.
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