Lecture 2

Descriptive Statistics:
Tabular and Graphical Methods
 Lecture Outline
Summarizing Qualitative Data
Summarizing Quantitative Data
Exploratory Data Analysis
Crosstabulations
and Scatter Diagrams

Slide 2
 Summarizing Qualitative Data
Frequency Distribution

Relative Frequency

Percent Frequency Distribution

Bar Graph

Pie Chart

Slide 3
 Frequency Distribution
A frequency distribution is a tabular summary
of data showing the frequency (or number) of
items in each of several nonoverlapping classes.

The objective is to provide insights about the

data that cannot be quickly obtained by looking
only at the original data.

Slide 4
 Example: Marada Inn
Guests staying at Marada Inn were asked to
rate the quality of their accommodations as
being excellent, above average, average, below
average, or poor. The ratings provided by a
sample of 20 guests are shown below.

Below Average Average Above Average

Above Average Above Average Above Average
Above Average Below Average Below Average
Average Poor Poor
Above Average Excellent Above Average
Average Above Average Average
Above Average Average

Slide 5
 Example: Marada Inn
Frequency Distribution

Rating Frequency
Poor 2
Below Average 3
Average 5
Above Average 9
Excellent 1
Total 20

Slide 6
Relative Frequency Distribution
The relative frequency of a class is the

fraction or proportion of the total number

of data items belonging to the class.

A relative frequency distribution is a

tabular summary of a set of data showing

the relative frequency for each class.

Slide 7
 Percent Frequency Distribution

The percent frequency of a class is the relative

frequency multiplied by 100.

A percent frequency distribution is a tabular

summary of a set of data showing the percent

frequency for each class.

Slide 8
 Example: Marada Inn
Relative Frequency and Percent
Frequency Distributions

Relative Percent
Rating Frequency Frequency
Poor .10 10
Below Average .15 15
Average .25 25
Above Average .45 45
Excellent .05 5
Total 1.00 100

Slide 9
 Bar Graph
A bar graph is a graphical device for depicting
qualitative data that have been summarized in a
frequency, relative frequency, or percent
frequency distribution.
On the horizontal axis we specify the labels that
are used for each of the classes.
A frequency, relative frequency, or percent
frequency scale can be used for the vertical axis.
Using a bar of fixed width drawn above each
class label, we extend the height appropriately.
The bars are separated to emphasize the fact
that each class is a separate category.

Slide 10
 Example: Marada Inn
Bar Graph
9
8
7
Frequency

6
5
4
3
2
1
Rating
Poor Below Average Above Excellent
Average Average

Slide 11
 Pie Chart
The pie chart is a commonly used graphical
device for presenting relative frequency
distributions for qualitative data.
First draw a circle; then use the relative
frequencies to subdivide the circle into sectors
that correspond to the relative frequency for
each class.
Since there are 360 degrees in a circle, a class
with a relative frequency of .25 would consume
.25(360) =
90 degrees of the circle.

Slide 12
 Example: Marada Inn
Pie Chart
Exc.
Poor
5%
10%
Below
Average
Above
15%
Average
45%
Average
25%

Quality Ratings

Slide 13
 Example: Marada Inn
Insights Gained from the Preceding Pie Chart
One-half of the customers surveyed gave
Marada a quality rating of “above average” or
“excellent” (looking at the left side of the pie).
This might please the manager.
For each customer who gave an “excellent”
rating, there were two customers who gave a
“poor” rating (looking at the top of the pie).
This should displease the manager.

Slide 14
Summarizing Quantitative Data
Frequency Distribution

Relative Frequency and Percent Frequency

Distributions

Dot Plot

Histogram

Cumulative Distributions

Ogive

Slide 15
 Example: Hudson Auto Repair
The manager of Hudson Auto would like to get a
better picture of the distribution of costs for
engine tune-up parts. A sample of 50 customer
invoices has been taken and the costs of parts,
rounded to the nearest dollar, are listed below.

91 78 93 57 75 52 99 80 97 62
71 69 72 89 66 75 79 75 72 76
104 74 62 68 97 105 77 65 80 109
85 97 88 68 83 68 71 69 67 74
62 82 98 101 79 105 79 69 62 73

Slide 16
 Frequency Distribution
Guidelines for Selecting Number of Classes

Use between 5 and 20 classes.

Data sets with a larger number of elements

usually require a larger number of classes.

Smaller data sets usually require fewer

classes.

Slide 17
 Frequency Distribution
Guidelines for Selecting Width of Classes

Use classes of equal width.

Approximate Class Width =

Largest Data Value − Smallest Data Value

Number of Classes

Slide 18
 Example: Hudson Auto Repair
Frequency Distribution
If we choose six classes:
Approximate Class Width = (109-52)/6 = 9.5  10

Cost ($) Frequency

50-59 2
60-69 13
70-79 16
80-89 7
90-99 7
100-109 5
Total 50

Slide 19
 Example: Hudson Auto Repair
Relative Frequency and Percent Frequency
Distributions

Relative Percent
Cost ($) Frequency Frequency
50-59 .04 4
60-69 .26 26
70-79 .32 32
80-89 .14 14
90-99 .14 14
100-109 .10 10
Total 1.00 100

Slide 20
 Example: Hudson Auto Repair
Insights Gained from the Percent Frequency
Distribution
Only 4% of the parts costs are in the $50-59
class.
30% of the parts costs are under $70.
The greatest percentage (32% or almost one-
third) of the parts costs are in the $70-79
class.
10% of the parts costs are $100 or more.

Slide 21
 Dot Plot
One of the simplest graphical summaries of
data is a dot plot.

A horizontal axis shows the range of data

values.

Then each data value is represented by a dot

placed above the axis.

Slide 22
Example: Hudson Auto Repair
Dot Plot

.. .. . . .
. .. .. .. .. . .
. . . ..... .......... .. . .. . . ... . .. .
50 60 70 80 90 100 110

Cost ($)

Slide 23
 Histogram
Another common graphical presentation of
quantitative data is a histogram.
The variable of interest is placed on the
horizontal axis and the frequency, relative
frequency, or percent frequency is placed on the
vertical axis.
A rectangle is drawn above each class interval
with its height corresponding to the interval’s
frequency, relative frequency, or percent
frequency.
Unlike a bar graph, a histogram has no natural
separation between rectangles of adjacent
classes.

Slide 24
Example: Hudson Auto Repair
Histogram
18
16
14
Frequency

12
10
8
6
4
2
Parts
Cost ($)
50 60 70 80 90 100 110

Slide 25
 Cumulative Distribution
The cumulative frequency distribution shows
the number of items with values less than or
equal to the upper limit of each class.
The cumulative relative frequency distribution
shows the proportion of items with values less
than or equal to the upper limit of each class.
The cumulative percent frequency distribution
shows the percentage of items with values less
than or equal to the upper limit of each class.

Slide 26
 Example: Hudson Auto Repair
Cumulative Distributions

Cumulative Cumulative
Cumulative Relative Percent
Cost ($) Frequency Frequency Frequency
< 59 2 .04 4
< 69 15 .30 30
< 79 31 .62 62
< 89 38 .76 76
< 99 45 .90 90
< 109 50 1.00 100

Slide 27
 Ogive
An ogive is a graph of a cumulative distribution.
The data values are shown on the horizontal
axis.
Shown on the vertical axis are the:
cumulative frequencies, or
cumulative relative frequencies, or
cumulative percent frequencies
The frequency (one of the above) of each class is
plotted as a point.
The plotted points are connected by straight
lines.

Slide 28
Example: Hudson Auto Repair
Ogive
Because the class limits for the parts-cost
data are 50-59, 60-69, and so on, there
appear to be one-unit gaps from 59 to 60, 69
to 70, and so on.
These gaps are eliminated by plotting points
halfway between the class limits.
Thus, 59.5 is used for the 50-59 class, 69.5 is
used for the 60-69 class, and so on.

Slide 29
Example: Hudson Auto Repair
Ogive with Cumulative Percent Frequencies
Cumulative Percent Frequency

100

80

60

40

20
Parts
Cost ($)
50 60 70 80 90 100 110

Slide 30
 Exploratory Data Analysis
The techniques of exploratory data analysis
consist of simple arithmetic and easy-to-draw
pictures that can be used to summarize data
quickly.

One such technique is the stem-and-leaf

display.

Slide 31
 Stem-and-Leaf Display
A stem-and-leaf display shows both the rank
order and shape of the distribution of the data.
It is similar to a histogram on its side, but it has
the advantage of showing the actual data
values.
The first digits of each data item are arranged
to the left of a vertical line.
To the right of the vertical line we record the
last digit for each item in rank order.
Each line in the display is referred to as a stem.
Each digit on a stem is a leaf.

Slide 32
Example: Hudson Auto Repair
Stem-and-Leaf Display

5 2 7
6 2 2 2 2 5 6 7 8 8 8 9 9 9
7 1 1 2 2 3 4 4 5 5 5 6 7 8 9 9 9
8 0 0 2 3 5 8 9
9 1 3 7 7 7 8 9
10 1 4 5 5 9

Slide 33
Stretched Stem-and-Leaf Display
If we believe the original stem-and-leaf display
has condensed the data too much, we can
stretch the display by using two more stems for
each leading digit(s).

Whenever a stem value is stated twice, the first

value corresponds to leaf values of 0-4, and the
second values corresponds to values of 5-9.

Slide 34
Example: Hudson Auto Repair
Stretched Stem-and-Leaf Display
5 2
5 7
6 2 2 2 2
6 5 6 7 8 8 8 9 9 9
7 1 1 2 2 3 4 4
7 5 5 5 6 7 8 9 9 9
8 0 0 2 3
8 5 8 9
9 1 3
9 7 7 7 8 9
10 1 4
10 5 5 9

Slide 35
 Stem-and-Leaf Display
Leaf Units

A single digit is used to define each leaf.

In the preceding example, the leaf unit was 1.

Leaf units may be 100, 10, 1, 0.1, and so on.

Where the leaf unit is not shown, it is

assumed to equal 1.

Slide 36
 Example: Leaf Unit = 0.1
If we have data with values such as
8.6 11.7 9.4 9.1 10.2 11.0 8.8
a stem-and-leaf display of these data will be

Leaf Unit = 0.1

8 6 8
9 1 4
10 2
11 0 7

Slide 37
 Example: Leaf Unit = 10
If we have data with values such as
1806 1717 1974 1791 1682 1910 1838
a stem-and-leaf display of these data will be

Leaf Unit = 10
16 8
17 1 9
18 0 3
19 1 7

Slide 38
Crosstabulations and Scatter Diagrams
Thus far we have focused on methods that are
used to summarize the data for one variable at a
time.
Often a manager is interested in tabular and
graphical methods that will help understand the
relationship between two variables.
Crosstabulation and a scatter diagram are two
methods for summarizing the data for two (or
more) variables simultaneously.

Slide 39
 Crosstabulation
Crosstabulation is a tabular method for
summarizing the data for two variables
simultaneously.
Crosstabulation can be used when:
One variable is qualitative and the other is
quantitative
Both variables are qualitative
Both variables are quantitative
The left and top margin labels define the classes
for the two variables.

Slide 40
 Example: Finger Lakes Homes
Crosstabulation
The number of Finger Lakes homes sold for each
style and price for the past two years is shown
below.

Price Home Style

Range Colonial Ranch Split A-Frame Total

< $99,000 18 6 19 12 55
> $99,000 12 14 16 3 45
Total 30 20 35 15 100

Slide 41
 Example: Finger Lakes Homes
Insights Gained from the Preceding
Crosstabulation
The greatest number of homes in the sample
(19) are a split-level style and priced at less
than or equal to $99,000.
Only three homes in the sample are an A-
Frame style and priced at more than $99,000.

Slide 42
 Crosstabulation: Row or Column
Percentages
Converting the entries in the table into row

percentages or column percentages can provide

additional insight about the relationship

between the two variables.

Slide 43
 Example: Finger Lakes Homes
Row Percentages

Price Home Style

Range Colonial Ranch Split A-Frame Total

< $99,000 32.73 10.91 34.55 21.82 100

> $99,000 26.67 31.11 35.56 6.67 100
Note: row totals are actually 100.01 due to rounding.

Slide 44
 Example: Finger Lakes Homes
Column Percentages

Price Home Style

Range Colonial Ranch Split A-Frame

< $99,000 60.00 30.00 54.29 80.00

> $99,000 40.00 70.00 45.71 20.00

Total 100 100 100 100

Slide 45
 Scatter Diagram
A scatter diagram is a graphical presentation of
the relationship between two quantitative
variables.
One variable is shown on the horizontal axis
and the other variable is shown on the vertical
axis.
The general pattern of the plotted points
suggests the overall relationship between the
variables.

Slide 46
 Scatter Diagram
A Positive Relationship

Slide 47
 Scatter Diagram
A Negative Relationship

Slide 48
 Scatter Diagram
No Apparent Relationship

Slide 49
Example: Panthers Football Team
Scatter Diagram
The Panthers football team is interested in
investigating the relationship, if any, between
interceptions made and points scored.

x = Number of y = Number of
Interceptions Points Scored
1 14
3 24
2 18
1 17
3 27

Slide 50
Example: Panthers Football Team
Scatter Diagram
Number of Points Scored y

30
25
20
15
10
5
0 x
0 1 2 3
Number of Interceptions

Slide 51
Example: Panthers Football Team
The preceding scatter diagram indicates a
positive relationship between the number of
interceptions and the number of points scored.
Higher points scored are associated with a
higher number of interceptions.
The relationship is not perfect; all plotted
points in the scatter diagram are not on a
straight line.

Slide 52
Tabular and Graphical Procedures
Data

Qualitative Data Quantitative Data

Tabular Graphical Tabular Graphical

Methods Methods Methods Methods

•Frequency •Bar Graph •Frequency •Dot Plot

Distribution •Pie Chart Distribution •Histogram
•Rel. Freq. Dist. •Rel. Freq. Dist. •Ogive
•% Freq. Dist. •Cum. Freq. Dist. •Scatter
•Crosstabulation •Cum. Rel. Freq. Diagram
Distribution
•Stem-and-Leaf
Display
•Crosstabulation

Slide 53