FNMT1201 Introductory Skills In Mathematics And Statistics

This report is carried out to study the trend in Australian graduate salaries over the period 1999 to 2015. For the purpose of study data is obtained from the research reports named GradStats for the years 1999 to 2015 from Graduate Careers Australia site. A summary of preliminary data related to the destinations of Australian resident bachelor degree graduates is given in GradStats (GradStats). From these reports data of graduate salaries were taken for all graduates, computing graduates, accounting graduates and social science graduates. This data is shown in the table in appendix. This report also forecasts their salaries for year 2016, 2017, 2020 and 2025.  

Findings

Table in appendix shows the median annual starting salary for Australian resident new bachelor degree graduates aged less than 25 and in their first full-time employment in Australia. From the data it is clear that the salaries of the graduates in disciplines taken for study is on rise over the years. Although different disciplines follow different pattern but altogether they are on the rising side. For example for all graduates the salary rise is 74.2% from 1999 to 2015. Similarly for accounting this rise is 72.4%, for computing 54.3% and for social science graduates it is 67.9%. This rise and its pattern individually is shown in figure 2 to 5. Their comparison is also shown in figure-1 which gives the relative position of salaries in different areas. This figure can be divided into three time ranges namely 1999-2004, 2004-2009 and 2009-2015. From the figure we can see that in first time frame the rise in salaries is nominal and comes out to be 20.7% for accounting, 8.6% for computing, 21.4% for social science and 22.6% for all graduates salaries. In second time frame this rise is high and comes out to be 28.6% for accounting, 30.5% for computing, 23.5% for social science and 26.3% for all graduates salaries. Lastly in the third time frame the rise in salaries is least and comes out to be 12.5% for accounting, 10.0% for computing, 12.7% for social science and 14.0% for all graduates salaries.

Analysis of findings

From the data collected and studied we can see that the trend of salaries over the given time frame is rising. When this data is plotted as shown in figures 2 to 5 we can see that it follows a close resemblance to a linear pattern. Thus while analyzing the data we will be following the linear regression model. The individual plots for all graduates, computing, accounting and social sciences are plotted in scattered form of graph and then their linear regression trend line is plotted in excel as shown in figures 2 to 5. Since simple linear regression model follows the equation

Y = mX + C

Hence from the plots we can get the values of m and C. these values comes out to be as given below:-

1. For All Graduates -> m = 1.5029 and C = -2973.1
2. For Accounting -> m = 1.4363 and C = -2842.1
3. For Computing -> m = 1.3123 and C = -2588.8
4. For Social Science -> m = 1.2468 and C = -2462.8

Now once we have got the linear plot for individual fields we are in the position to calculate the forecasted salary for each discipline for future years. In the table we have forecasted the salaries for years 2016, 2017, 2020 and 2025.

Conclusion

As per the report the mean salary of all graduates in Australia is going to be increased. Average mean salary is expected to be $56800 in 2016, $58300 in 2017, $62900 in 2020 and $70400 in 2025. 

References

GradStats. (n.d.). Retrieved from Graduate Careers Australia: http://www.graduatecareers.com.au/research/researchreports/gradstats/