Page 99 - New Employee Onboarding

Confidential and Privileged
For The Audit and Finance Committee's Review
Work-paper #3-3:
Apple Market Basket vs. Modified Producer Price Index:
2015 Performance by Category

Category: Grocery

Apple Market Basket Modified Producer Price Index (MPPI)
Average Actual Store Cost (Jan - Dec) Budgeted Spend Average PPI Sub-Indices (Jan - Dec) Indexed Cost Indexed Spend
Product 2014 2015 fav/(unfav) Volume 2015 2014 2015 fav/(unfav) Referenced PPI Sub-Indices PPI Code 2014 2015 fav/(unfav) 2015 2015 fav/(unfav)
[1] [2] [3] [4] [5] [6] [7] [8] [9] [10] [11] [12] [13] [14] [15] [16]
Ketchup 20 oz., Upside Down $0.73 $0.74 -0.5% 5,695,837 $4,168,517 $4,189,686 -0.5% Canned catsup and other tomato based sauces WPU02440127 157 156 0.8% $0.73 $4,133,630 0.8%
Sauce, Steak, 15 oz $4.12 $4.11 0.2% 684,928 $2,820,924 $2,814,021 0.2% Prepared sauces, except tomato WPU02860103 157 158 -0.6% $4.14 $2,838,106 -0.6%
Macaroni & Cheese $1.62 $1.62 0.1% 1,260,534 $2,043,769 $2,041,271 0.1% Dry macaroni, spaghetti, and egg noodle products WPU0214020303 112 120 -7.4% $1.74 $2,194,645 -7.4%
Nuts, Toasted Blanched Almonds Sliced $5.32 $6.12 -15.0% 554,694 $2,951,666 $3,393,244 -15.0% Nuts (salted, roasted, cooked, or blanched) WPU025503041 175 190 -8.4% $5.77 $3,198,634 -8.4%
Soda, Pepsi - 5 gal $3.59 $3.85 -7.3% 2,903,176 $10,428,358 $11,185,895 -7.3% Liquid beverage bases, excluding use by soft drink WPU02640109 182 182 0.1% $3.59 $10,423,104 0.1%
Onion Rings, Breaded $1.26 $1.35 -7.3% 3,866,571 $4,859,605 $5,214,843 -7.3% Frozen vegetables, other than potato products WPU02450509 135 136 -0.9% $1.27 $4,902,004 -0.9%
Fries, Green Bean, Tempura $2.27 $2.28 -0.4% 1,208,865 $2,745,812 $2,757,943 -0.4% Frozen vegetables, other than potato products WPU02450509 135 136 -0.9% $2.29 $2,769,769 -0.9%
Potatoes, Fries, Coated $0.71 $0.71 0.5% 47,926,105 $34,143,283 $33,972,481 0.5% Frozen potato products (French-fried, patties, puff) WPU02450202 238 238 -0.2% $0.71 $34,223,426 -0.2%
Potatoes, Mashed, Redskin, Garlic $0.77 $0.76 0.9% 7,502,901 $5,742,090 $5,687,575 0.9% Round red potatoes WPU01130604 145 151 -4.0% $0.80 $5,971,893 -4.0%
Overall Performance $69,904,024 $71,256,958 -1.9% Overall Performance $70,655,211 -1.1%

Category: Dairy
Apple Market Basket Modified Producer Price Index (MPPI)
Average Actual Store Cost (Jan - Dec) Budgeted Spend Average PPI Sub-Indices (Jan - Dec) Indexed Cost Indexed Spend
Product 2014 2015 fav/(unfav) Volume 2015 2014 2015 fav/(unfav) Referenced PPI Sub-Indices PPI Code 2014 2015 fav/(unfav) 2015 2015 fav/(unfav)
[1] [2] [3] [4] [5] [6] [7] [8] [9] [10] [11] [12] [13] [14] [15] [16]
Cheese, Asiago, Shredded $3.37 $3.14 7.0% 1,599,343 $5,393,413 $5,017,066 7.0% Natural cheese, except lowfat, shipped in packages WPU023302122 108 86 20.0% $2.70 $4,314,146 20.0%
Cheese, Italian Blend, Feather Shred 4/5 $2.53 $2.13 15.7% 1,320,937 $3,342,375 $2,817,660 15.7% Natural cheese, except lowfat, shipped in packages WPU023302122 108 86 20.0% $2.02 $2,673,537 20.0%
Cheese, Shredded, Cheddar $2.48 $2.09 15.7% 6,203,973 $15,389,474 $12,969,183 15.7% Natural cheese, except lowfat, shipped in packages WPU023302122 108 86 20.0% $1.98 $12,309,910 20.0%
Cheese, Cheddar, Sharp White, Bevel Shred $2.70 $2.60 3.9% 2,167,040 $5,854,673 $5,625,470 3.9% Natural cheese, except lowfat, shipped in packages WPU023302122 108 86 20.0% $2.16 $4,683,103 20.0%
Cheese, Parm Blend, Shred, 6/5 lb $3.20 $2.86 10.6% 2,192,006 $7,015,763 $6,271,615 10.6% Natural cheese, except lowfat, shipped in packages WPU023302122 108 86 20.0% $2.56 $5,611,849 20.0%
Mozzarella Sticks $1.80 $1.67 7.4% 14,229,131 $25,657,182 $23,771,003 7.4% Other frozen specialties, excluding seafood WPU02850113 184 184 -0.4% $1.81 $25,762,024 -0.4%
Ice Cream, Vanilla $12.44 $12.34 0.8% 585,352 $7,284,361 $7,224,747 0.8% Ice cream, excl. lowfat and nonfat (incl. custards) WPU023402012 105 106 -1.0% $12.57 $7,355,708 -1.0%
Sour Cream $0.91 $0.87 4.2% 2,176,443 $1,976,831 $1,893,591 4.2% Other fluid milk related products, packaged WPU02310304 231 222 4.1% $0.87 $1,895,090 4.1%
Overall Performance $71,914,071 $65,590,333 8.8% Overall Performance $64,605,367 10.2%
Sources & Notes:
[1]: Products are based on Apple Price Index.
[2]: Average actual store cost for 2014 is calculated by taking the average of prices from January 2014 through December 2014.
[3]: Average actual store cost for 2015 is calculated by taking the average of prices from January 2015 through December 2015.
[4]: Change in average actual store cost= -{[3] - [2]}/[2].
[5]: Budgeted volumes for 2015 are based on Apple Price Index.
[6]: [2] x [5].
[7]: [3] x [5].
[8]: -{[7] - [6]}/[6]. Notice that [4] & [8] have the same results.
[9]: PPI sub-indices are selected based on resemblance with products in Apple Market Basket.
[10]: See PPI Codes on the Bureau of Labor Statistics: http://www.bls.gov/news.release/pdf/ppi.pdf
[11]: Data were retrieved from the Bureau of Labor Statistic website: http://data.bls.gov/cgi-bin/srgate
[12]: Data were retrieved from the Bureau of Labor Statistic website: http://data.bls.gov/cgi-bin/srgate
[13]: Change in PPI sub-indices = -{[12] - [11]}/[11].
[14]: [2] x {1 - [13]}.
[15]: [5] x [14].
[16]: -{[15] - [6]}/[6]. Notice that [13] & [16] have the same results.