You are asked to analyze the relative demand for the company’s products in various regions of the country and various states in which it sells.

You are asked to analyze the relative demand for the company’s products in various regions of the country and various states in which it sells.

Use Tableau to calculate (a) additional markup percentage and (b) markdown percentage ratios for the company in each of five regions of the country designated in the company’s database and in each states in which the company sells products. Calculate the ratios as the additional markup or markdown amounts as a percentage of sales. Based upon what you find, answer the following questions:

1. Which of the five regions’ operations has the most favorable inventory management relative to demand as measured by the additional markup percentage ratio (= Total markups/ total Sales) and what is that ratio (to the nearest one-tenth of a percent)?
2. Which of the five regions’ operations has the least favorable inventory management relative to demand as measured by markdown percentage ratio (= Total Markdowns/ Total Sales) and what is the ratio (to the nearest one-tenth of a percent)?
3. Which of the five regions’ operation has the least favorable inventory management relative to freight in charges as measured by freight-in percentage ratio (= Total Freight-in cost/Total cost)
4. Which state’s operations has the most favorable inventory management relative to demand as measured by additional markup percentage ratio and what is the ratio (to the nearest one-tenth of a percent)?
5. Which state’s operations has the least favorable inventory management relative to demand as measured by markdown percentage ratio and what is the ratio (to the nearest one-tenth of a percent)?
6. Find the customer with the highest additional markup percentage ratio. Who is the customer and what is the customer’s markup percentage ratios (to the nearest one-tenth of a percent)?
7. Find the category (products) that is the most favorable inventory management relative to demand as measured by the additional markup percentage ratio and what is the ration (to the nearest one-tenth of a percent)?

For this case, please download the file Inventory Data to the computer, save it and open it in Tableau.

1. To answer the above questions, you may first choose solid observations. For this, drag “Status” under Dimensions to the Filters card. Click the “S” in the dropdown menu of “Filters” box so that only the solid items will be analyzed.
2. You may need to compute three variables: additional markup ratio %, markdown ratio %, freight-in cost ratio %.

They can be calculated as follows:

Additional markup ratio=Total Markup/Total Sales

= (number*net markup)/(number*selling price) in the file “InventoryData.xlsx.”

Markdown ratio=Total markdowns/Total Sales

= (number*net markdown)/(number*selling price) in “InventoryData.xlsx.”

Frieght-in ratio=Total Freight In /Total Cost

= (number*Freight in)/(number*Cost) in “InventoryData.xlsx.”

For this process, create calculated fields “Total Markup” “Total Markdown” “Total Freight In” “Total Sales,”

and “Total Cost.”

And then, create calculated fields “Additional markup %” “Markdown %,” and “Freight in ratio.”

1. Analyze the results by region, by state, by customer, and by category.
2. Name your report as “TA03_Your initials.” This file must be PC-compatible.

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