Fairfield institute of management and Technology

TOPIC OF RESEARCH PROJECT

Find the 1485 Arithmetic means which can be
inserted between 5 and 8 and show that their sum is 14 times
the arithmetic mean between 5and 8.

Subject Name: Business maths

Subject code : 102

Submitted to: Submitted by:

Name of the faculty Enrollment no:00451488819

Rajkumar Garg Course:B.COM (H)

Semester/Section:2nd sem.
 INTRODUCTION

In mathematics and statistics, the arithmetic mean ( /ˌærɪθˈmɛtɪk ˈmiːn/, stress on first and third
syllables of "arithmetic"), or simply the mean or average when the context is clear, is the sum of
a collection of numbers divided by the count of numbers in the collection. [1] The collection is
often a set of results of an experiment or an observational study, or frequently a set of results
from a survey. The term "arithmetic mean" is preferred in some contexts in mathematics and
statistics because it helps distinguish it from other means, such as the geometric mean and
the harmonic mean.

In addition to mathematics and statistics, the arithmetic mean is used frequently in many diverse
fields such as economics, anthropology, and history, and it is used in almost every academic field
to some extent. For example, per capita income is the arithmetic average income of a nation's
population.

While the arithmetic mean is often used to report central tendencies, it is not a robust statistic,
meaning that it is greatly influenced by outliers (values that are very much larger or smaller than
most of the values). Notably, for skewed distributions, such as the distribution of income for
which a few people's incomes are substantially greater than most people's, the arithmetic mean
may not coincide with one's notion of "middle", and robust statistics, such as the median, may be
a better description of central tendency.

Definition

The arithmetic mean (or mean or average), is the mean of the values

The arithmetic mean is the most commonly used and readily understood measure of central
tendency in a data set. In statistics, the term average refers to any of the measures of central
tendency. The arithmetic mean of a set of observed data is defined as being equal to the sum of
the numerical values of each and every observation divided by the total number of observations.

Symbolically, if we have a data set consisting of the values , then the arithmetic

mean is defined by the formula:

(See summation for an explanation of the summation operator).

For example, consider the monthly salary of 10 employees of a firm: 2500, 2700, 2400,
2300, 2550, 2650, 2750, 2450, 2600, 2400. The arithmetic mean is

If the data set is a statistical population (i.e., consists of every possible observation and
not just a subset of them), then the mean of that population is called the population
mean. If the data set is a statistical sample (a subset of the population), we call the
statistic resulting from this calculation a sample mean.

Step-by-step explanation:

We know that ,one can insert n AM between two numbers,so that the given sequence
remains an AP.

for that
Step1: Finding AP

Here a= 5

b=8

n= 14

Now,the AP so formed has first term a,second term a+d,3rd term a+2d and so on

Thus the AP is

5,26/5,27/5,28/5,29/5,30/5... 39/5,8

Step2: Find sum of inserted AMs

 26/5,27/5,28/5,29/5,30/5... ,38/5,39/5

Step 3: Find AM

Step 4: Find 14 times of AM

It is clear from eq1 and eq2,that sum of AMs is 14 times the AM

THE ARITHMETIC MEANThe arithmetic mean is the statistician’s term for what the layman
knows as the average. It can be thought of as that value of the variable series which is
numerically MOST representative of the whole series.“The arithmetic mean or simply the mean
is a value obtained by dividing the sum of all the observations by their number.”

2 where n represents the number of observations in the sample that has been the ith observation
in the sample (i = 1, 2, 3, …, n), and represents the mean of the sample.For simplicity, the above
formula can be written as(In other words, it is not necessary to insert the subscript ‘i’.)

3 EXAMPLEInformation regarding the receipts of a news agent for seven days of a particular
week are given below:Mean sales per day in this week := £ /7 = £ 37.12(to the nearest penny).

4 Interpretation:The mean, £ 37.12, represents the amount (in pounds sterling) that would have
been obtained on each day if the same amount were to be obtained on each day.To calculate the
approximate value of the mean, the observations in each class are assumed to be identical with
the class midpoint Xi.As was just mentioned, the observations in each class are assumed to be
identical with the midpoint i.e. the class-mark., (This is based on the assumption that the
observations in the group are evenly scattered between the two extremes of the class
interval).The mid-point of every class is known as its class-mark.In other words, the midpoint of
a class ‘marks’ that class.

5 FREQUENCY DISTRIBUTION
In case of a frequency distribution, the arithmetic mean is defined as:

6 EPA MILEAGE RATINGS OF 30 CARS OF A CERTAIN MODEL

For simplicity, the above formula can be written as(The subscript ‘i’ can be dropped.)EPA
MILEAGE RATINGS OF 30 CARS OF A CERTAIN MODEL
7 CLASS-MARK (MID-POINT):
The mid-point of each class is obtained by adding the sum of the two limits of the class and
dividing by 2.Hence, in this example, our mid-points are computed in this manner:30.0 plus 32.9
divided by 2 is equal to 31.45,33.0 plus 35.9 divided by 2 is equal to 34.45,and so on.

8 Applying the formula:we obtain

9 GROUPING ERROR“Grouping error” refers to the error that is introduced by the assumption
that all the values falling in a class are equal to the mid-point of the class interval.In reality, it is
highly improbable to have a class for which all the values lying in that class are equal to the mid-
point of that class.This is why the mean that we calculate from a frequency distribution does not
give exactly the same answer as what we would get by computing the mean of our raw data.This
grouping error arises in the computation of many descriptive measures such as the geometric
mean, harmonic mean, mean deviation and standard deviation.

10 But, experience has shown that in the calculation of the arithmetic mean, this error is usually
small and never serious.Only a slight difference occurs between the true answer that we would
get from the raw data, and the answer that we get from the data that has been grouped in the form
of a frequency distribution.In this example, if we calculate the arithmetic mean directly from the
30 EPA mileage ratings, we obtain:

11 The arithmetic mean is predominantly used as a measure of central tendency.

The question is, “Why is it that the arithmetic mean is known as a measure of central
tendency?”The answer to this question is that we have just obtained i.e falls more or less in the
centre of our frequency distribution.Mean = 37.85

12 DESIRABLE PROPERTIES OF THE ARITHMETIC MEAN

Best understood average in statistics.Relatively easy to calculateTakes into account every value
in the series.But there is one limitation to the use of the arithmetic mean:As we are aware, every
value in a data-set is included in the calculation of the mean, whether the value be high or
low.Where there are a few very high or very low values in the series, their effect can be to drag
the arithmetic mean towards them. this may make the mean unrepresentative.Let us consider an
example:
13 Example of the Case Where the Arithmetic Mean Is Not a Proper Representative of the
Data:
Suppose one walks down the main street of a large city centre and counts the number of floors in
each building.Suppose, the following answers are obtained:5, 4, 3, 4, 5, 4, 3, 4, 5,20, 5, 6, 32, 8,
27The mean number of floors is 9 even though 12 out of 15 of the buildings have 6 floors or
less.The three skyscraper blocks are having a disproportionate effect on the arithmetic mean.

14 EXAMPLESuppose that in a particular high school, there are:-100 – freshmen80 –

sophomores70 – juniors50 – seniorsAnd suppose that on a given day, 15% of freshmen, 5% of
sophomores, 10% of juniors, 2% of seniors are absent.The problem is that: What percentage of
students is absent for the school as a whole on that particular day?Now a student is likely to
attempt to find the answer by adding the percentages and dividing by 4 i.e.

15 As we have already noted, 15% of the freshmen are absent on this particular day. Since, in
all, there are 100 freshmen in the school, hence the total number of freshmen who are absent is
also 15.But as far as the sophomores are concerned, the total number of them in the school is 80,
and if 5% of them are absent on this particular day, this means that the total number of
sophomores who are absent is only 4.

16 Dividing the total number of students who are absent by the total number of students enrolled
in the school, and multiplying by 100, we obtain:

17 In this example, the number of students enrolled in each category acts as the weight for the
number of absences pertaining to that category i.e.

18 WEIGHTED MEANAnd, in this example, the weighted mean is equal to:An important point
to note here is the criterion for assigning weights. Weights can be assigned in a number of ways
depending on the situation and the problem domain.In the example that we have just considered,
greater weights are assigned to larger groups.

19 MEDIANThe median is the middle value of the series when the variable values are placed in
order of magnitude.The median is defined as a value which divides a set of data into two halves,
one half comprising of observations greater than and the other half smaller than it. More
precisely, the median is a value at or below which 50% of the data lie.The median value can be
ascertained by inspection in many series. For instance, in this very example, the data that we
obtained was:

20 EXAMPLE:The average number of floors in the buildings at the centre of a city:5, 4, 3, 4, 5,

4, 3, 4, 5, 20, 5, 6, 32, 8, 27Arranging these values in ascending order, we obtain3, 3, 4, 4, 4, 4,
5, 5, 5, 5, 6, 8, 20, 27, 32Picking up the middle value, we obtain the medianequal to 5.

Conclusion

THE ARITHMETIC MEANThe arithmetic mean is the statistician’s term for what the layman
knows as the average. It can be thought of as that value of the variable series which is
numerically MOST representative of the whole series.

“The arithmetic mean or simply the mean is a value obtained by dividing the sum of all the
observations by their number.”

where n represents the number of observations in the sample that has been the ith observation in
the sample (i = 1, 2, 3, …, n), and represents the mean of the sample.For simplicity, the above
formula can be written as(In other words, it is not necessary to insert the subscript ‘i’.)