2-Statistical Measures of Data
2-Statistical Measures of Data
Topic 2 MEASURES OF
DATA
Parameter and Statistic
Measures of Central Tendency
Measures of Variation
Chebyshev’s Theorem
Z-scores
Parameter and Statistic
A measure computed on the
basis of data obtained from a sample
is termed a statistic.
A parameter is a measure
computed on the basis of data
obtained from an entire population.
The sample statistic is
presumed to be an estimate
of the population parameter.
Example
MEAN
MEDIAN
MODE
FOR UNGROUPED DATA(< 30 values)
MEAN
i
x
X i 1
N
Example
1. The number of employees at 5 different drug
stores are 3, 5, 6, 4, and 6. Treating the data
as population, find the mean number of
employees for the 5 stores.
2. A food inspector examined a random sample
of 7 cans of certain brand of tuna to
determine the percent of foreign impurities.
The following data were recorded: 1.8, 2.1,
1.7, 1.6, 0.9, 2.7, and 1.8. Compute the
sample mean.
MEDIAN
The median is the midpoint
of a set of numbers. The
numbers must be arranged in
order from lowest to highest or
vice-versa.
If there is an odd number of
inputs, the median is the middle
input.
If there is an even number
of inputs, the median is the
average of the two inputs in the
middle.
Example
M
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C
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tatistic P
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m e
ter
M
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M
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Problem:
A measure of dispersion of
about the mean. It describes how
the observations spread out along
the scale of distribution.
Measures of Variability
Range
Variance
Standard Deviation
FOR UNGROUPED DATA(< 30 values)
RANGE
The range of a set of data
is the difference between the
largest and smallest number in
the set.
R = x H - xL
Example:
= 19
VARIANCE
variance, 2
(x
i 1
i ) 2
N
For a sample, n
i
( x x ) 2
variance, s
2 i 1
n 1
Example:
Assuming that two sets A and B are populations,
calculate their variance.
SetA 3 4 5 6 8 9 10 12 15
Set B 3 7 7 7 8 8 8 9 15
For Set A:
N
( xi ) 2
9
x 8
2
i
2 i 1
i 1
N 9
5 4 3 2 0 1 2 4 7
2 2 2 2 2 2 2 2 2
9
124
9
STANDARD DEVIATION
R = 20 - 8 = 12
Computing for the MEAN:
n
x i
i 1
n
20 19 18 16 15 14 13 12 8
9
15
Computing for the variance: ( 15)
Xi Xi - (Xi - )2
20 5 25
19 4 16
18 3 9
16 1 1
15 0 0
14 -1 1
13 -2 4
12 -3 9
8 -7 49
(x i ) 2
2 i 1
N
114
2
𝜎 =
9
=12.67
Computing for the Standard Deviation:
2
12 . 67 2
12 . 67
3 . 56
Chebyshev’s
Theorem
A Russian mathematician
discovered that the fraction of the
measurements falling between any
two values symmetric about the mean
is related to the standard deviation.
Chebyshev’s Theorem
Interval = x ks
7.0 = 5.8 + k(0.6)
k(0.6) = 1.2
k = 2
1 1 3
1 2 1 2
k 2
4
75%
Problem
If the IQs of a random sample of 1080
students at a large university have a mean
score of 120 and a standard deviation of 8,
use Chebyshev’s theorem to determine the
interval containing at least 810 of the IQs in
the sample. In what range can we be sure
that no more than 120 of the scores fall?
Measures of Relative Variation
They are:
the standard score, Z
the coefficient of variation,V
Standard Score
x
z
Coefficient of Variation
s
V 100 %
x
OR
V 100%
Problem:
An automobile
salesman made a SALE
profit of $245 on a
subcompact model
for which the
average profit has
been $200 with a
standard deviation
of $50.
Later on the same
day, he made a
profit of $620 on a
large luxury model
for which the
average profit has
been $500 with a
standard deviation
of $150.
For which of these
two models is the
salesman's profit
relatively higher?
x
Solution: z