Detailed Solutions to Practice #7

If you had difficulty with this practice, read the detailed solutions given on this page. When you are done try the additional practice for this unit.

1. Is the Data Suitable
   The table has five categories, each having a number of shares. The total number can be found by adding up the numbers from each category.
   • Define the whole--In this table, the whole is the total number of shares of stock owned by an investor.
     
   • How many different parts, or groups, are there--There are five parts to the whole. Each data group is a category of type of stock: (1) Coca-Cola, (2) Pepsi, (3) IBM, (4) Exxon, (5) General Motors.

From the table we can calculate the whole, and we do have different parts. This means the data could be displayed in a circle graph.

2. Calculate Percentages--For data not already given as percentages, convert the amounts for each part, or data group, into a percentage of the whole. To calculate the percentage of shares for each type of stock we must first find the total number of shares.

• Calculate the whole--The whole is calculated by adding up the number of shares in each of the five categories.

8 + 10 + 4 + 8 + 20 = 50

• Calculate the percentage for each part--The data are given in numbers of shares owned so we must convert these numbers into percentages. (If you need to review how to convert parts of a whole into a percent, you should review the Decimal tutorial.) Percentage is:

Below are the calculations for the percentages of each stock:

Percent in Coca-Cola, which equals the Percent in Exxon (These are the same since both have 8 shares)
Percent in Pepsi
Percent in IBM
Percent in General Motors

If we add a column to our table we now have:

Shares of Stock Owned by an Investor

Type of Stock	Number of Shares	Percent of Total
Coca-Cola	8	16
Pepsi	10	20
IBM	4	8
Exxon	8	16
General Motors	20	40

3. Draw the Graph

   Draw a circle and draw in a sector for each data group. Try to make the sector sizes look as close to the percentage of the circle as the percentage of the data group. Now that we have the percentages, we are ready to draw our circle graph. Note the shading on the different sectors. This helps to differentiate them.

4. Title and Label the Graph

   Label the sectors with the data group name and percentage. Then add a title to the graph. This is the same as the title of the table. Now add the title and labels. When this is done, the finished graph should look like the one below.

   Shares of Stock Owned by an Investor

REMEMBER: You should review the material in this unit and then try the additional practice.

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