Ch. 9-Case Problem-Young Professional Magazine
Young Professional Magazine was developed for a target audience of recent college graduates who are
in their first 10 years in a business/professional career. In its two years of publication, the magazine has
been fairly successful. Now the publisher is interested in expanding the magazine’s advertising base.
Potential advertisers continually ask about the demographics and interests of subscribers for Young
Professional. To collect this information, the magazine commissioned a survey to develop a profile of its
subscribers. The survey results will be used to help the magazine choose articles of interest and provide
advertisers with a profile of subscribers. As a new employee of the magazine, you have been asked to
help analyze the survey results. Some of the survey questions follow:
What is your age? (23) Are you: Male___yes______ Female___NO_______
Do you plan to make any real estate purchases in the next two years? NO
What is the approximate total value of financial investments, exclusive of your home, owned by you or
members of your household? 110,000. How many stock/bond/mutual fund transactions have you made in the past year? 0 Do you have broadband access to the Internet at home? yes 100 a month
Please indicate your total household income last year.
Do you have children? NO The results of the survey are presented in (Professional.xls (on BB))
Managerial Report
Prepare a managerial report summarizing the results of the survey. In addition to statistical summaries,
discuss how the magazine might use these results to attract advertisers. You might also comment on
how the survey results could be used by the magazine’s editors to identify topics that would be of
interest to readers. Your report should address the following issues, but do not limit your analysis to just
these areas.
1. Develop appropriate descriptive statistics to summarize the data.
2. Develop 95% confidence intervals for the mean age and household income of subscribers.
3. Develop 95% confidence intervals for the proportion of subscribers who have broadband access
at home and the proportion of subscribers who have children.
4. Would Young Professional be a good advertising outlet for online brokers? Justify your
conclusion with statistical data.
5. Would this magazine be a good place to advertise for companies selling educational software
and computer games for young children?
6. Comment on the types of articles you believe would be of interest to readers of Young
Professional.
(I have attached a document of answers so just follow through with the document.)
