Data Analysis & Decision Making Flashcards

A floral shop's monthly sales data shows roses generating $4,200 and lilies generating $1,800 in revenue. What percentage of total revenue do roses represent?

Answer: 70%

Roses ($4,200) divided by total revenue ($6,000) equals 70%.

When analyzing floral inventory turnover, a designer notices orchids sit unsold for 18 days on average while carnations sell in 4 days. Which decision is most data-driven?

Answer: Reduce orchid order quantities and increase carnation stock

Reducing slow-moving inventory and increasing fast-moving stock optimizes cash flow and reduces waste.

A florist tracks that wedding orders have a 22% profit margin while sympathy arrangements have a 35% margin. If both categories generate equal revenue, which decision maximizes profit?

Answer: Prioritize marketing sympathy arrangements

Directing marketing toward the higher-margin sympathy category increases overall profit on the same revenue base.

Sales records show Valentine's Day orders tripled compared to the prior month. A designer uses this data primarily to:

Answer: Plan adequate inventory and staffing for next Valentine's Day

Historical seasonal spikes inform future procurement and staffing decisions to meet predictable demand.

A shop owner compares two suppliers: Supplier A charges $0.80 per stem with a $50 delivery fee, and Supplier B charges $0.95 per stem with free delivery. At what order quantity do costs equalize?

Answer: 333 stems

Setting 0.80x + 50 = 0.95x gives 0.15x = 50, so x = 333 stems.

After reviewing quarterly data, a florist finds that 60% of custom orders come from repeat customers. This metric is best used to:

Answer: Justify investment in a customer loyalty program

A high repeat-customer rate supports investing in loyalty programs that retain valuable existing customers.

A designer's cost-of-goods-sold (COGS) is $8,000 and revenue is $20,000. What is the gross profit margin?

Answer: 60%

Gross profit margin = (Revenue − COGS) / Revenue = ($12,000 / $20,000) = 60%.