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Histogram

A histogram is a chart that visually represents the distribution of numerical data using adjacent rectangular bars, with the X-axis showing intervals and the Y-axis showing frequency. To create a histogram, one must determine the data range, divide it into equal intervals, count observations in each interval, and plot the bars. Histograms are valuable for analyzing data distribution, revealing patterns, and aiding decision-making in various fields.

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0% found this document useful (0 votes)
1 views3 pages

Histogram

A histogram is a chart that visually represents the distribution of numerical data using adjacent rectangular bars, with the X-axis showing intervals and the Y-axis showing frequency. To create a histogram, one must determine the data range, divide it into equal intervals, count observations in each interval, and plot the bars. Histograms are valuable for analyzing data distribution, revealing patterns, and aiding decision-making in various fields.

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n29786569
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Understanding Histograms: A Comprehensive Explanation

A histogram is a type of chart that visually represents the distribution of numerical data using
rectangular bars. It is commonly used to display the frequency distribution of continuous data.
Each bar in a histogram represents an interval (or bin), and the height of the bar shows how
many data points fall within that interval. The bars are adjacent (without gaps) because they
represent continuous data rather than separate categories.

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Key Features of a Histogram

1. X-Axis (Horizontal Axis):

Represents continuous numerical data divided into equal intervals.

Examples: Hours of operation, prices, odometer readings, ages, etc.

2. Y-Axis (Vertical Axis):

Represents the frequency (or count) of data points within each interval.

Examples: Number of customers, vehicles serviced, calls received, etc.

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Steps to Create a Histogram

1. Determine the Data Range

Identify the minimum and maximum values in the dataset.

Example: If sales revenue ranges from ₱100 to ₱1,000, the range is ₱900.

2. Divide the Range into Equal Intervals (Bins)


Choose a reasonable number of intervals (e.g., 5 to 10 bins).

Example: If the range is ₱900, divide it into 9 bins of ₱100 each.

3. Count the Number of Observations in Each Interval

Count how many data points fall within each bin.

Example: If 15 sales were between ₱100 and ₱200, the first bar has a height of 15.

4. Draw the Histogram

Plot bars for each interval with heights based on the frequency.

Ensure bars are adjacent (no gaps) to show continuous data distribution.

Why Are Histograms Useful?

Histograms help analyze how data is distributed and can reveal patterns such as:

Normal Distribution (bell curve): Data is evenly spread around the center.

Skewed Distribution: Data is concentrated toward one side (left or right).

Gaps & Outliers: Identify missing data points or extreme values.

For example, in auditing, a histogram can show transaction frequency over time. Instead of just
looking at total transactions, auditors can see when transactions peak and whether there are
irregularities.

By analyzing the shape and flow of the data, decision-makers can identify trends, detect
anomalies, and make better business decisions.

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Conclusion

Histograms are powerful tools for visualizing data distribution. They differ from bar charts by
displaying continuous numerical data rather than categories. By using histograms, businesses,
auditors, and analysts can gain insights into data trends, making them useful for decision-
making and problem-solving.

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