Quantitative

Tools for
Managers
Iftikhar Ahmed
 Histograms, Frequency Polygons,
and Ogives
Three Most Common Graphs in Research
1. Histogram
2. Frequency Polygon
3. Cumulative Frequency Polygon (Ogive)
Histogram
 It is used for qualitative data
 It is used to portray the frequency distribution
 It describes the shape of the data
 It can quickly answer these questions
 Are the data symmetric?
 Where do most of the data points lie?
 It is constructed in this way
 X-axis depicts the variable of interest
 Y-axis shows frequency
 It is based on class boundaries
 Height of the class boundary shows the frequency of that
class
Histogram
Construct Histogram for the given data

Data Set
38, 25, 38, 40, 44, 43, 42, 40, 64, 46, 36, 49, 38, 44, 30, 42,
41, 51, 50, 37, 51, 48, 48, 37, 44, 49, 57, 54, 32,42, 47, 46,
55, 35, 47, 50, 47, 46, 47, 43, 56, 44, 37, 38, 32, 41, 43, 58,
38, 43
 Construct Histogram for the Given Data

Class Cumulative
Class Interval Boundary Frequency Percent Percent
25---31 24.5---- 31.5 2 4 4
32---38 31.5---- 38.5 12 24 28
39---45 38.5---- 45.5 15 30 58
46---52 45.5---- 52.5 14 28 86
53---59 53.5---- 59.5 5 10 96
60---66 59.5---- 66.5 2 4 100
Total 50 100
 Histogram
Frequency

15

10

24.5 31.5 38.5 45.5 52.5 59.5 66.5 Units

Histograms
Construct a histogram to represent the
data for the record high temperatures for
each of the 50 states
 8

Histograms
Histograms use class boundaries and
frequencies of the classes.
Class Class
Frequency
Limits Boundaries
100 - 104 99.5 - 104.5 2
105 - 109 104.5 - 109.5 8
110 - 114 109.5 - 114.5 18
115 - 119 114.5 - 119.5 13
120 - 124
119.5 - 124.5 7
125 - 129
130 - 134 124.5 - 129.5 1
129.5 - 134.5 1 Bluman, Chapter 2
 9

Histograms
Histograms use class boundaries and
frequencies of the classes.

Bluman, Chapter 2
 Histograms, Frequency Polygons,
and Ogives
 The frequency polygon is a graph that displays the data by
using lines that connect points plotted for the frequencies
at the class midpoints. The frequencies are represented by
the heights of the points.
 The class midpoints are represented on the horizontal axis.
 11

Frequency Polygons
Construct a frequency polygon to
represent the data for the record high
temperatures for each of the 50 states

Bluman, Chapter 2
Frequency Polygons
Frequency polygons use class midpoints and
frequencies of the classes.
Class Class
Frequency
Intervals Midpoints
100 - 104 102 2
105 - 109 107 8
110 - 114 112 18
115 - 119 117 13
120 - 124
122 7
125 - 129
130 - 134 127 1
132 1
Frequency Polygons
Frequency polygons use class midpoints and
frequencies of the classes.
A frequency polygon
is anchored on the
x-axis before the first
class and after the
last class.
 Histograms, Frequency Polygons,
and Ogives
 Theogive is a graph that represents the cumulative
frequencies for the classes in a frequency distribution.

 Theupper class boundaries are represented on the

horizontal axis.
Ogives
Construct an ogive to represent the data
for the record high temperatures for each
of the 50 states
Ogives
Ogives use upper class boundaries and
cumulative frequencies of the classes.
Class Class Cumulative
Frequency
Limits Boundaries Frequency
100 - 104 99.5 - 104.5 2 2
105 - 109 104.5 - 109.5 8 10
110 - 114 109.5 - 114.5 18 28
115 - 119 114.5 - 119.5 13 41
120 - 124
119.5 - 124.5 7 48
125 - 129
130 - 134 124.5 - 129.5 1 49
129.5 - 134.5 1 50
Ogives
Ogives use upper class boundaries and
cumulative frequencies of the classes.
Cumulative
Class Boundaries
Frequency
Less than 104.5 2
Less than 109.5 10
Less than 114.5 28
Less than 119.5 41
Less than 124.5 48
Less than 129.5 49
Less than 134.5 50
Ogives
Ogives use upper class boundaries and
cumulative frequencies of the classes.
 19

Shapes of Distributions
 20

Shapes of Distributions
Chapter 3 Overview
Introduction
 3-1 Measures of Central Tendency
 3-2 Measures of Variation
 3-3 Measures of Position
 Summary Measures for
1 Variable

Central
Dispersion Shape
Tendency

Mean Skewness

Mode Kurtosis
Range
Median
Mean Standard
Deviation Deviation
 Central
Tendency

Ungrouped
Grouped Data
Data

Mean

Mode

Median
3.1 Measures of Central Tendency
 A statisticis a characteristic or measure obtained by using
the data values from a sample.
 A parameter is a characteristic or measure obtained by using
all the data values for a specific population.
 Mean
 The most widely used measure
 It is a computed value therefore it is affected by all
the values
 It is possible that Mean is not the part of data which
it represents
 Its value is affected by extreme value, so in case of
skewness in data, mean is not a good measure of
central tendency
 It can not be computed from an open-ended
distribution
Mean for Ungrouped Data
 Mean
 PopulationMean =
 Sample Mean =
 Find the Mean for 25, 30, 40, 45 X
25
30
40
45
Total 140

Average 140/4

Average 35
Example 3-1: Days Off per Year
The data represent the number of days off per year for
a sample of individuals selected from nine different
countries. Find the mean.
20, 26, 40, 36, 23, 42, 35, 24, 30

X1  X 2  X 3    X n  X
X 
n n
20  26  40  36  23  42  35  24  30 276
X   30.7
9 9

The mean number of days off is 30.7 years.

Ex 3-2(Cont)
 Median
 It is easy to define and easy to understand
 It is the Middle Value of the arranged data
 It is affected by the number of observations, but not by the
value of observation
 Extreme value does not affect it
 It is used when data is skewed
 It may be computed for an open-ended distribution

If Odd Number of Data Points are there

Median Position is the

Median If Even Number of Data Points are there

Median Position is the and
Median is the average of these two
Median for the Ungrouped Data
 Compute Median for these values
 2, 4, 3, 2, 8, 6, 9, 7, 6
Step 1: Arrange the Data 2, 2, 3, 4, 6, 6, 7, 8, 9

Step 2: Find whether Odd or Even Number of Observations

9 observations, so it is odd number of observations

Step 3: Find the Median Position and Value

Median position = = = 5th Which is 6

Median for the Ungrouped Data
 Compute Median for these values
 28, 18, 76, 56, 34, 25, 30, 45
Step 1: Arrange the Data 18, 25, 28, 30, 34, 45, 56, 76

Step 2: Find whether Odd or Even Number of Observations

8 observations, so it is Even number of observations

Step 3: Find the Median Position and Value

Median positions = and = = 4th and 5th
Median = average of 4th and 5th Values = (30+34)/2 = 32
Example 3-4: Hotel Rooms
The number of rooms in the seven hotels in
downtown Pittsburgh is 713, 300, 618, 595, 311,
401, and 292. Find the median.

Sort in ascending order.

292, 300, 311, 401, 596, 618, 713

Select the middle value.

MD = 401

The median is 401 rooms.

Ex 3-5(Cont)
Example 3-6: Tornadoes in the U.S.
The number of tornadoes that have occurred in
the United States over an 8-year period follows.
Find the median.
684, 764, 656, 702, 856, 1133, 1132, 1303

Find the average of the two middle values.

656, 684, 702, 764, 856, 1132, 1133, 1303

764  856 1620

MD    810
2 2

The median number of tornadoes is 810.

Ex 3-7(Cont)
Ex 3-8(Cont)
Mode
 The most repeated value
 Used for Nominal Data
 It is not widely used
 It is not affected by extreme value
 There can be no mode or more than one mode
Mode for Ungrouped Data
 In the class there are 20 boys and 35 girls, what is the mode
 ___________( 20, 35, Boy, Girl, None of them)
 Find the mode for the data set given below
 2, 5, 7, 4, 2, 8, 7, 12, 5, 2, 8, 10
2

 Is it Possible for a data to have more than one mode

 Yes
Example 3-9: NFL Signing Bonuses
Find the mode of the signing bonuses of eight
NFL players for a specific year. The bonuses in
millions of dollars are
18.0, 14.0, 34.5, 10, 11.3, 10, 12.4, 10

You may find it easier to sort first.

10, 10, 10, 11.3, 12.4, 14.0, 18.0, 34.5

Select the value that occurs the most.

The mode is 10 million dollars.

Example 3-10: Coal Employees in PA
Find the mode for the number of coal employees per
county for 10 selected counties in southwestern
Pennsylvania.
110, 731, 1031, 84, 20, 118, 1162, 1977, 103, 752

No value occurs more than once.

There is no mode.
Ex 3-10(Cont)
Ex 3-11(Cont)
Mean for the Grouped Data
Mean = Xm is the midpoint of Class Interval

Class Interval Frequency Xm F Xm

1----5 2 3 6
6----10 4 8 32
11---15 6 13 78
16---20 5 18 90
21---25 3 23 69
26---30 2 28 56
Total 22 331

Mean = = 15.04
Example 3-3: Miles Run
Below is a frequency distribution of miles run
per week. Find the mean.
Class Boundaries Frequency
5.5 - 10.5 1
10.5 - 15.5 2
15.5 - 20.5 3
20.5 - 25.5 5
25.5 - 30.5
4
30.5 - 35.5
35.5 - 40.5 3
2
f = 20
Example 3-3: Miles Run
Class Frequency, f Midpoint, Xm f ·Xm
5.5 - 10.5 1 8 8
10.5 - 15.5 2 13 26
15.5 - 20.5 3 18 54
20.5 - 25.5 5 23 115
25.5 - 30.5 4 28 112
30.5 - 35.5
3 33 99
35.5 - 40.5
2 38 76
f = 20  f ·Xm = 490

X
 f X m

490
 24.5 miles
n 20
 Mode for the grouped Data
𝑀𝑜𝑑𝑒=𝑙+h { 𝑓𝑚− 𝑓 1
2 𝑓𝑚 − 𝑓 1 − 𝑓 2 } Modal Group: fm
Group with Highest Frequency

Class Interval Class Boundary Frequency

1----5 0.5 ----5.5 2
6----10 5.5 ----10.5 4 Preceding Modal Group: f1
11---15 10.5 ----15.5 6
16---20 15.5 ----20.5 5 Proceeding Modal Group: f2
21---25 20.5 ----25.5 3
26---30
Total
25.5 ----30.5 2
22
𝑀𝑜𝑑𝑒=10.5 +5
{ 6−4
2 (6) −4 −5 }
l is the lower class boundary for modal group
h is the height of Modal Class = 15.5 – 10.5 = 5 𝑀𝑜𝑑𝑒=13.83
Example 3-12: Miles Run per Week
Find the modal class for the frequency distribution of
miles that 20 runners ran in one week.
Class Frequency
5.5 – 10.5 1
The modal class is
10.5 – 15.5 2
15.5 – 20.5 3
20.5 – 25.5.
20.5 – 25.5 5
25.5 – 30.5 4 The mode, the midpoint
30.5 – 35.5 3 of the modal class, is
35.5 – 40.5 2 23 miles per week.