Basic Statistics

Chapter 4

Measures of Central Tendency

Basic Statistics Chap 4-102

 Introduction
 In the previous chapter we have discussed how to summarize data
using frequency distribution, histogram, frequency polygon and ogive
graphs.

 However, we sometimes need to summarize data just one number that

can focus attention more sharply on the various properties of set of
data being investigated.

 Central tendency commonly referred to as Averages refers to the

location of the center of a distribution and tell us where the data are.

Basic Statistics Chap 4-103

 Introduction
 There are many time of measures of averages, each possessing
particular properties. The most frequently encountered one are
1. Computer averages
a. The arithmetic mean
b. The geometric mean
2. Positional averages
a. The median
b. The quartiles
3. The Mode

Basic Statistics Chap 4-104

 Statistical Notations
 Statistical notation is only partially standardized. Different text books,
journals and researcher may use somewhat different notations. The
difference between descriptive measures for population and sample is
very important
Measure Notation for
Arithmetic Mean Parameter Statistic
Arithmetic Mean µ xത
Geometric Mean ෡
G gො
Median Me me
Mode Mo mo

Basic Statistics Chap 4-105

 The Summation Notation
 The symbol Σ (the uppercase Greek letter “sigma”) is often used for
repetitive addition. The sign means adding up, make such edition
absolutely precise.
Properties of Summation Notation
𝑛

(𝑖) ෍ 𝑖 = 1 + 2 + 3 + ⋯ + 𝑛 the sum of the n natural numbers

𝑖=0
(𝑖𝑖) Σ 𝑥𝑖 + 𝑦𝑖 = Σ𝑥𝑖 + Σ𝑦𝑖
(𝑖𝑖𝑖) Σ 𝑥𝑖 − 𝑦𝑖 = Σ𝑥𝑖 − Σ𝑦𝑖
(𝑖𝑣) Σ𝑐𝑥𝑖 = 𝑐Σ𝑥1 where c is a constant number
𝑛

𝑣 ෍ 𝑐 = 𝑛𝑐 where c is a constant number

𝑖=0

Basic Statistics Chap 4-106

 Mathematical (Computed) Measures of Central Tendency
Arithmetic Mean
The un-weighted arithmetic mean
 The un-weighted arithmetic mean, because of easy of computation, long
usage, and desirable mathematical properties, is the best known and the
most commonly used average.
 Sometimes it is referred to as “the arithmetic mean” or “the mean” or
“the average’.
𝑥1 + 𝑥2 + 𝑥3 + ⋯ + 𝑥𝑛 Σx𝑖
xത = = For sample n values
𝑛 n
𝑥1 + 𝑥2 + 𝑥3 + ⋯ + 𝑥N Σx𝑖
µ= = 𝐅𝐨𝐫 𝑷𝒐𝒑𝒖𝒍𝒂𝒕𝒊𝒐𝒏 𝑵 𝐯𝐚𝐥𝐮𝐞𝐬
N N

Basic Statistics Chap 4-107

 Mathematical (Computed) Measures of Central Tendency
Example 1:
If we have a sample of four values of 3 cm, 5 cm, 7 cm, and 9 cm. calculate
the sample mean.

Solution 1:
Σx𝑖 3cm + 5cm + 7cm + 9cm 24
xത = = = 𝟔 𝐜𝐦
n 4 4

Basic Statistics Chap 4-108

 Mathematical (Computed) Measures of Central Tendency
Example 2:
Find the arithmetic mean of the weights (in kgs) of 10 students from a class;
56, 60, 45, 68, 54, 58, 40, 47, 67, 55.

Solution 2:

Σx𝑖 56 + 60 + 45 + 68 + 54 + 58 + 40 + 47 + 67 + 55 550
xത = = =
n 10 10
= 𝟓𝟓 𝐤𝐠𝐬

Basic Statistics Chap 4-109

 Mathematical (Computed) Measures of Central Tendency
Example 3:
Find the arithmetic of the scores (out of 35) of a population of 12 students in a test;
20, 23, 26, 17, 29, 30, 10, 8, 34, 25, 28, 14

Solution 3:
Σx𝑖 20 + 23 + 26 + 17 + 29 + 30 + 10 + 8 + 34 + 25 + 28 + 14 264
µ= = =
N 12 12
= 𝟐𝟐

 For discrete grouped data, the formula of the mean remains the same. Lets
consider a discrete grouped of data 𝑥1 , 𝑥2 … 𝑥𝑛 with 𝑓1 , 𝑓2 … 𝑓𝑚 frequencies
respectively.

Basic Statistics Chap 4-110

 Mathematical (Computed) Measures of Central Tendency

 Then the formula of obtaining arithmetic mean is modified

Σ𝑓𝑖 𝑥𝑖
xത =
Σ𝑓𝑖
Example 4:
Find the arithmetic mean of the discrete grouped data given below
𝑥𝑖 1 2 3 5 7 9
𝑓𝑖 3 2 4 4 3 2

Basic Statistics Chap 4-111

 Mathematical (Computed) Measures of Central Tendency
Solution 4:
𝑥𝑖 𝑓𝑖 𝑓𝑖 𝑥𝑖  The arithmetic mean is
1 3 3 Σ𝑓𝑖 𝑥𝑖
xത =
2 2 4 Σ𝑓𝑖
3 4 12
78
5 4 20 xത = = 𝟒. 𝟑𝟑
18
7 3 21
9 2 18
Σ𝑓𝑖 = 18 Σ𝑓𝑖 𝑥𝑖 = 78

Basic Statistics Chap 4-112

 Mathematical (Computed) Measures of Central Tendency
Example 5:
Find the arithmetic mean for the data on weights (in kgs) of 20 students in
the table given below using both methods
Weight (kg) of 20 students
Weights (kg) f𝑖
40 – 44 2
45 – 49 3
50 – 54 6
55 – 59 7
60 - 64 2
Total

Basic Statistics Chap 4-113

 Mathematical (Computed) Measures of Central Tendency
Solution 5:
Weight (kg) of 20 students
Σf𝑖 𝑥𝑖
Weight 𝑓𝑖 𝑥𝑖 𝑓𝑖 𝑥𝑖 𝑥ҧ =
Σf𝑖
40 – 44 2 42 84
45 – 49 3 47 141 1060
𝑥ҧ =
50 – 54 6 52 312 20
55 – 59 7 57 399
60 - 64 2 62 124 𝑥ҧ = 𝟓𝟑 𝐤𝐠𝐬
Total Σ𝑓𝑖 = 20 Σ𝑓𝑖 𝑥𝑖 = 1060

Basic Statistics Chap 4-114

 Mathematical (Computed) Measures of Central Tendency
 The combined mean for a combined set of data may be obtained from the
means of the component sets comprising the combined set if the number
of observation out of which the component means were obtained are
known.

 The arithmetic mean of the combined set, say 𝑥ҧ is given by the equation
𝑛1 𝑥ҧ1 + 𝑛2 𝑥ҧ2
𝑥ҧ =
𝑛1 + 𝑛2

Where 𝒏𝟏 & 𝒏𝟐 are sample 1 and sample 2, respectively

ഥ𝟏 & 𝒙
𝒙 ഥ𝟐 are mean 1 and mean 2, respectively

Basic Statistics Chap 4-115

 Mathematical (Computed) Measures of Central Tendency
Example 6:
The mean weight of 50 women working in a company was found to be 48 kgs.
The mean weight for the men was found to be 58 kgs. The total number of
workers in the company was 125. find the mean weight of all the workers in the
factory.
Solution 6: 𝑛1 𝑥ҧ1 + 𝑛2 𝑥ҧ2
𝑥ҧ =
Given information 𝑛1 + 𝑛2
𝒏𝟏 = 50 women
50 48 + 75(58)
ഥ𝟏 = 48 kg
𝒙 𝑥ҧ =
50 + 75
ഥ𝟐 = 58 kg
𝒙
6750
𝒏𝟐 = 125 – 50 = 75 men 𝑥ҧ = = 𝟓𝟒 𝐤𝐠
125
Mean weight = 𝑥ҧ = ?

Basic Statistics Chap 4-116

 Mathematical (Computed) Measures of Central Tendency
The Weighted Arithmetic Mean
 When the observation of set of data may not be equally important, every
observation must be given its due weight in calculating the arithmetic
mean of the observation.

 This type of arithmetic mean which is obtained by taking the weights of

each observation into consideration is known as the weighted arithmetic
mean or simply the weighted mean.

 The weighted mean is obtained by the sum set of values multiplied by

their appropriate weights divide by the sum of the weights.

Basic Statistics Chap 4-117

 Mathematical (Computed) Measures of Central Tendency
𝑤1 𝑥1 + 𝑤2 𝑥2 + 𝑤3 𝑥3 + ⋯ + 𝑤𝑛 𝑥𝑛
𝑥ҧ𝑤 =
𝑤1 + 𝑤2 + 𝑤3 + ⋯ + 𝑤𝑛
This may be shortened in the following way
Σ𝑥𝑖 𝑤𝑖
𝑥ҧ𝑤 =
Σ𝑤𝑖
Where 𝑤𝑖 is the weight of 𝑥𝑖
 Suppose your professor tells you that your grade will be based on a midterm
and a final exam, each of which is based on 100 possible points. However, the
final exam will be worth 60% of the grade and the midterm only 40%. How
could you determine an average score that would reflect these different
weights? The average you need is the weighted average.

Basic Statistics Chap 4-118

 Mathematical (Computed) Measures of Central Tendency
Example 7:
An employer set a weekly wage for her 100 workers into three: level A, level B,
level C. The workers falling into levels A, B and C were received 20, 50 and 70
dollar respectively. At the end of the week 25 received 20 dollar each, 50 received
50 dollar each, and 25 received 70 dollar each. Find the appropriate mean wage.
Solution 7:
Weekly wages of 100 workers Σ𝑥𝑖 𝑤𝑖
𝑥ҧ𝑤 =
Wages (in dollar) Workers Σ𝑤𝑖
𝑥 𝑤 𝑥𝑤
4,750
20 25 500 𝑥ҧ𝑤 =
100
50 50 2,500
70 25 1,750 𝑥ҧ𝑤 = $𝟒𝟕.50
𝚺𝒘 = 100 𝚺𝒙𝒘 = 4,750
Basic Statistics Chap 4-119
 Mathematical (Computed) Measures of Central Tendency

Example 8:
Maura bought gas for her car four times during June 2015. She bought 10
gallons at a price of $2.60 a gallon, 13 gallons at a price of $2.80 a gallon, 8
gallons at a price of $2.70 a gallon, and 15 gallons at a price of $2.75 a
gallon. What is the average price that Maura paid for gas during June 2015?

Basic Statistics Chap 4-120

 Mathematical (Computed) Measures of Central Tendency
Solution 8:
Prices and Amount of Gas Purchased Σ𝑥𝑖 𝑤𝑖
𝑥ҧ𝑤 =
Price (in dollars) Gallons of gas Σ𝑤𝑖
𝑥 𝑤 𝑥𝑤
125.25
2.60 10 26 𝑥ҧ𝑤 =
46
2.80 13 36.40
𝑥ҧ𝑤 = $𝟐. 𝟕𝟐
2.70 8 21.60
2.78 15 41.25 Thus, Maura paid an average of
𝚺𝒘 = 46 𝚺𝒙𝒘 = 125.25 $2.72 a gallon for the gas she
bought in June 2015

Basic Statistics Chap 4-121

 Mathematical (Computed) Measures of Central Tendency

Exercise:
A student received an A in English I (3 credits), a C in Introduction to
Psychology (3 credits), a B in Microeconomics (4 credits), and a D in
Accounting (2 credits).

Assuming A = 4 grade points, B = 3 grade points, C = 2 grade points, D = 1

grade point, and F = 0 grade points, find the student’s grade point average.

Basic Statistics Chap 4-122

 Mathematical (Computed) Measures of Central Tendency
The Geometric Mean
 The geometric mean of a set of n-positive numbers is defined as the nth
root of the product of the n numbers. The formula for the geometric mean
is
𝐺෠ = N 𝑥1. 𝑥2 . 𝑥3 … 𝑥𝑁

There are two main uses of geometric mean

1. To average percentages, indexes, and relatives; and
2. To determine the average percent increase in sales, production, or other
business or economic series from one time period to another

Basic Statistics Chap 4-123

 Mathematical (Computed) Measures of Central Tendency
Example 9:
Suppose the profit earned by Sur Construction Company on five projects
were 3, 4, 4, 6, and 5 percent, respectively. What is the geometric mean
profit.

Solution 9:
෡=
G N
𝑥1 . 𝑥2 . 𝑥3 … 𝑥𝑁
5
෡=
G (3). (4). (4). (6). (5)
5
෡=
G 1440 = 4.28

The geometric mean profit is 4.28

Basic Statistics Chap 4-124

 Mathematical (Computed) Measures of Central Tendency
Example 10:
Find the geometric mean for the data given below in the table below
𝒙𝒊 𝒇𝒊
1 2
2 1
4 2
6 3
Total 8 ෡= N
𝑓1 . 𝑓2 . 𝑓3 𝑓𝑁
G 𝑥1 𝑥2 𝑥3 … 𝑥𝑁
Solution 10:
8 8
෡=
G 1 2x 2 1x 4 2x 6 3 = 6912 = 𝟑. 𝟎𝟐

Basic Statistics Chap 4-125

 Mathematical (Computed) Measures of Central Tendency
Example 11:
Find the geometric mean for the following continuous grouped data on the
percentage increase in salary of 16 employees of a company
% increase in salary 𝒇𝒊
0-4 5
5-9 6
10 - 14 3
15 - 19 2
Total 16

Basic Statistics Chap 4-126

 Mathematical (Computed) Measures of Central Tendency
Solution 11:
To calculate geometric mean, first find the class mark
16
% increase Class ෡=
G 2 5 x 7 6 x 12 3 x 17 2
in salary 𝒇𝒊 mark
16
0-4 5 2 ෡=
G (32)(117649)(1728)(289)
5-9 6 7 16
෡=
G 1,880,095,021,000
10 - 14 3 12
15 - 19 2 17 ෡ = 5.85
G
Total 16 The geometric mean percentage
increase in salary is 5.85 percent

Basic Statistics Chap 4-127

 The Positional Measures of Central Tendency
The Median
 The median is the central value of an ordered distribution.
In an ordered array, the median is the “middle” number (50% above, 50%
below) To find it,
 if a data set contains n-observations, where n is an odd number, then the
median is given by the following formula
th
𝑛+1
𝐌𝐝 = observation
2

Basic Statistics Chap 4-128

 The Positional Measures of Central Tendency
Example 12:
Find the median of the following data: 5, 2, 2, 3, 1, 8, 4.

Solution 12:
Arrange the numbers in ascending order: 1, 2, 2, 3, 4, 5, 8.
In this case n = 7 which is odd
th th
𝑛+1 7+1
𝐌𝐝 = 𝑣𝑎𝑙𝑢𝑒 = = 4th value and the 4th value is 3
2 2

Basic Statistics Chap 4-129

 The Positional Measures of Central Tendency
 if a data set contains n-observations, where n is an even number, then the
median is given by the following formula
th th
𝑛 𝑛
value + 2 + 1 value
2
𝐌𝐝 =
2
Example 13:
Find the median of the following data: -5, 8, 2, 4, 6, 0, 10, 5, 1, 15.
Solution 13:
Arrange the numbers in ascending order: -5, 0, 1, 2, 4, 5, 6, 8, 10, 15.
In this case n = 10 which is even
5th + 6th 4+5
𝐌𝐝 = = = 𝟒. 𝟓
2 2

Basic Statistics Chap 4-130

 The Positional Measures of Central Tendency
The Median for Grouped Data
For grouped data, the exact median cannot be obtained unless the original raw
data was restrained. In algebraic interpolation method, we first find the median
class whose cumulative frequency first exceeds the value of [(n + 1/2)].
Then locate the median by use f the following formula for interpolation
𝑛
− CFpMd
Median = LMd + 2 CWMd
𝐹𝑀𝑑
Where LMd = Lower class boundary of the median class
CFpMd = Cumulative frequencies in the classes proceeding the class containing
the median
𝑓Md = Frequency of the median class
CWMd = class width of the median class

Basic Statistics Chap 4-131

 The Positional Measures of Central Tendency
Example 14:
The following data is on the distribution of 44 women in the age group between
55 – 59 years according to their duration of marriage in years. Find the median
Duration of Marriage No. of Women
0–4 1
5–9 3
10 – 14 4
15 – 19 11
20 – 24 5
25 – 30 20
Total 44

Basic Statistics Chap 4-132

 The Positional Measures of Central Tendency
Solution 14:
Given information 𝑛
2 − CFpMd
n 44 Median = LMd + CWMd
= = 22. 𝐹𝑀𝑑
2 2
The 22nd observation is in the fifth class 22 − 19
Median = 19.5 + 5
LMd = 19.5 5

CFpMd = 1 + 3 + 4 + 11 = 19 Median = 19.5 + 3 = 𝟐𝟐. 𝟓

𝑓Md = 5

CWMd = 5

Basic Statistics Chap 4-133

 Other Positional Measures of Central Tendency
 Median divides a given set of data into two equal parts. It is also possible to
sub divide a set of data into more than two parts. the measures obtained by
such equal sub-divisions of data are called Quartiles.
 We will discussion three different types of quartiles as related to the median;
namely, quartiles, deciles and percentiles.
 The Quartiles are measures which divide a given set of data into four equal
parts. We can have three quartile denoted by Q1, Q2, and Q3.
 The Deciles divide a given set of data into ten equal parts. There are nine
deciles and denoted by D1, D2, …, D9.
 The Percentiles divide a given set of data into 100 equal parts. The
percentiles is denoted by P1, P2, P3, …, P99.

Basic Statistics Chap 4-134

 Other Positional Measures of Central Tendency

Quartiles
𝑖 th
Qi = 𝑛+1 value
4
Deciles
𝑖 th
Di = 𝑛+1 value
10
Percentiles
𝑖 th value
Pi = 𝑛+1
100

Basic Statistics Chap 4-135

 Other Positional Measures of Central Tendency

 Quartiles split the ranked data into 4 segments with an equal

number of values per segment
25% 25% 25% 25%

Q1 Q2 Q3

 The first quartile, Q1, is the value for which 25% of the
observations are smaller and 75% are larger
 Q2 is the same as the median (50% of the observations are smaller
and 50% are larger)
 Only 25% of the observations are greater than the third quartile

Basic Statistics Chap 4-136

 Other Positional Measures of Central Tendency
Example 15:
Find Q2, Q3, D5, P50, and P75 for the following set of numbers: 2, 9, 7, 6, 1, 5,
7, 8, 10, 6, 11, 6, 14, 7, 1, 2, 7, 8, 9.
Solution 15:
The total number of observations (n) is 15. by arranging the number in ascending
form, we get, 1, 1, 2, 2, 5, 6, 6, 6, 7, 7, 7, 7, 8, 8, 9, 9, 10, 11, 14.

Q2 = (2/4)(19 + 1)th value = 10th value ⟹ number = 7

Q3 = (3/4)(19 + 1)th value = 15th value ⟹ number = 9
D5 = (5/10)(19 + 1)th value = 10th value ⟹ number = 7
P50 = (50/100)(19 + 1)th value = 10th value ⟹ number =7
P75 = (75/100)(19 + 1)th value = 15th value ⟹ number =9

Basic Statistics Chap 4-137

 The Mode
 The mode is the value in a sample or population that appears most frequently
than any other value. That is, mode is a value of an observation which occurs
with the highest frequency.
 There may be no mode, single mode (uni-modal), two modes (bi-modal) or
there may be several modes (Multiple mode) in a given data set.

Example 16:
Find the mode of the following data sets
I. 3, 5, 5, 4, 6, 4, 5, 5, 4, 7, 8, 5
II. 3, 8, 8, 7, 4, 7, 2, 9, 4, 7, 8, 1
III. 1, 3, 5, 8, 3, 8, 5, 1, 1, 3, 8, 5

Basic Statistics Chap 4-138

 The Mode
Solution 16:
I. To determine the mode easier, we arrange value in an ascending order
3, 4, 4, 4, 5, 5, 5, 5, 5, 5, 6, 7, 8. Therefore, the Mode = 5 ⟹ Uni-model

II. First, we arrange value in an ascending order

1, 2, 3, 4, 4, 7, 7, 7, 8, 8, 8, 9. Therefore, Mode = 7 and 8 ⟹ Bi=model

II. First, we arrange value in an ascending order

1, 1, 1, 3, 3, 3, 5, 5, 5, 8, 8, 8. All the values appear with same frequency. In
this case we say data has no mode.

Basic Statistics Chap 4-139

 Mode of Grouped Data
 For discrete grouped data , the mode is the value(s) with the highest
frequency and is obtained by inspecting the grouped data.

Example 17:
Find the mode for the following discrete grouped data:
X 2 4 3 5 8 7
F 3 7 1 4 7 6

Solution 17:
By inspecting the data, the highest frequency 7 and the values with that
frequency are 4 and 8. Therefore, the Mode = 4 and 8

Basic Statistics Chap 4-140

 Which Measure of Central Tendency to Use
Arithmetic Mean in the following cases, arithmetic mean should not be used
1. In distributions with open classes
2. In highly skewed distributions
3. When there are very large or very small items
4. When ratio and rates are given
 Geometric Mean: is useful in averaging ratio and percentages and in
computing average rates of increase or decrease
 Median: is generally the best average in open-end grouped distribution,
especially where if plotted as a frequency curve gets a J or reverse J curve
 Mode: it can be used in problems involving the expression of preference
where quantitative measurements are not possible.

Basic Statistics Chap 4-141

 The numerical relationships among the averages
 For a symmetrical and uni-modal distribution mean = median = mode.
 For a positively skewed distribution, the mean has the largest value, the
mode has the smallest value, and the median is about one-third the distance
from the mean as it is towards the mode.
 For a negatively skewed distribution, the mean is the smallest, the mode is
the largest, and the median is again about one-third the distance from the
mean as it is towards the model

Basic Statistics Chap 4-142

 The numerical relationships among the averages
The last three observations are illustrated using the following figures
Symmetric Distribution Positively-Skewed Negatively-Skewed
Mean = Mode = Median Mean > Median > Mode Mean < Median < Mode

For a symmetrical distribution For a positively skewed For a negatively skewed

with one peak the values of the distribution, the mean is the distribution, the mean is the
mean, median, and mode are largest, and that of the mode is smallest, and that of the mode is
identical, and they lie at the the smallest, and the value of the the largest, and the value of the
centre of the distribution median lies between these two. median lies between these two.

Basic Statistics Chap 4-143