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Financial &

Other Graphs

A S 12.2.3;12.2.1

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Tables and Graphs appearregularly in the media,

newspapers and/or financialreports.

To interpret and analyze thegraphs you should understand

what the heading is about, whatthe labels on the axes representand what comparisons and trends

are shown.You MUST understand thedifference between a change ine.g. price and a change expressedas a % (% chan e).

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The graph showsthe AMS share

priceperformance.What was theapproximateprice of one

share in Jan2006?

1.

R450

(R

)

When did the share price

drop (decrease)substantially?

May 07Jul 07

If Bryan bought 50shares in Mar 07 andsold them in Jul 07,

about how much

Loss = 50 x (1050 - 850)

= R10 000

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The graph showsthe Electronic &Electrical and All-share index.

2.

By what % does theAll-share priceincrease for theperiod shown? 155-90 =65%

Based on the electronic and electrical indexchanges, should Bryan buy shares in thissector? Explain.

Yes. The share price value increased by over 70%

Which year is thebase year? 2006

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www.sanlam.co.za/eng/economicinsight/economiccommenta

About whenwas inflation

the highest?2003

The graph showsthe CPIX %

change from 1998to 2007.

What does a decrease in the graph indicate?

Prices increase at a lower rate than previously

The government wants to keep inflationbetween 3% and 6%. When was the ratewithin this range? From about 2004 to 2006

3.

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http://www.eppf.co.za/invest/performance.htm

The graph

shows theyearly %change of aninvestment

funds return vsCPI.

4.

In which period did thefund have its largest

increase % and what wasthis % change?

2004-2005 31,8%

What happens when e.g. the CPI graphdecreases from 6,7% to 1,2%?

CPI price increases at a lower rate for this perio

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What does a negative % change in the priceof the fund for the period 2002-2003 mean?

What is the real % change for 2005-2006 whentaking inflation into consideration?

Price is lower than the 2001-2002 period

In whichperiods did

the fundspriceincrease ?

All,except

2002/2003

27,5 - 4,9 = 22,6%

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www.polity.org.za/polity/govdocs/commissions/2002/rand/pb.pdf

The graph showsthe Randexchange rateagainst the Euroand Dollar from

2000 to 2002.What was thehighest R/$exchange rate?

What was the lowest R/ exchangerate?

R12,50

5.

R6,20

When comparing the Dollar and Euro forthis period, which one was worth more in

Rand? Dollar

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What is the overalltrend for bothgraphs?Steady weakeningof Rand from 2000to about end 2001,rapid weakening

beginning 2002,then a decline(strengthening).

The rates on 15/10/2007 were 1$ = R6,7195

and 1 = R9,56297. Compare these rateswith those shown from the end of 2001.

Both the Dollar and Euro weakenedagainst the Rand. Euro now stronger thanDollar.

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The Repo rate isthe rate thatBanks pay to

SARB. The Primeinterest rate israte at whichbanks lend out

money.

5.

What was the approximateprime rate in Jan 2003 and

Jan 2007?

17% and 13%Lucia took a home loan in Dec 2004at prime +1%, what was her initial

interest?What was her interest in 2007?

How does this change affect her?

12%

14%

Bigger monthly bond repayments.

SARB: Monetary Policy review 2007

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Based on this graph, explain what would youexpect to the happen to the average fuelprices in 2005?

Possibly decrease as the Rand strengthene

When was the Randat its weakest?

2002

What do you notice about the relationshipbetween the exchange rate and fuel prices?

When the Rand weakens, the fuel prices increas

What was theexchangerate in 1998?

R5/$

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The graphshows theactual and

possible futureUK Oil and Gasproduction.

6.

When did

productionpeak? 1999

How many barrels of oil and

gas are produced in 2007?3 million

The rate of decline can be slowed with a highlevel of investment. How much additional oiland gas could be produced in 2020.

1,6 - 1 = 0,6 million

2020

Source: DTI, 2007

S DTI 2006

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7.The graphshows the oiland gas prices

from 2001.What is thegeneral trend?

Steady increase

in cost perbarrel.

hy do you think the cost has increased so much?

carcity & great demand for fuels, particularly in Chi

hats the % increase in oil and gas from J01 to J0

Oil = (70 28)

/28x 100

= 150%

Gas = (40 30)

/30x 100

= 33,3%

Source: DTI, 2006

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Global warming is caused mostly by carbon

dioxide (CO2) from burning coal, oil and gas.The graphs above show % CO2 and average

temperatures.

8.1 2

hat time period does graph 2 represent?140years

What is the temperatureincrease during this time? About 1

0C

Describe the trend of graph 1 as the years increas

Slow increase from 0,028% in 1770 untilabout 1850 then a rapid increase to

0,034% in 2000.

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Task

1 2

Using the 2 graphs, what inferencescan you make about the effect of the

rise in the concentration of CO2 on thetemperature in the atmosphere?Explain your opinion.

To Do

Write a short report about why globalwarming could have a significantimpact on people and nature. What

can each of us do to save energy?