Chapter 2

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

 Frequency Distribution
 Relative Frequency
 Percent Frequency Distribution
 Bar Graph
 Pie Chart
 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.
 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 quests 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
 Example: Marada Inn

 Frequency Distribution

Rating Frequency
Poor 2
Below Average 3
Average 5
Above Average 9
Excellent 1
Total 20
 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.
 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.
 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
 Bar Graph
 A bar graph is a graphical device for depicting
qualitative data.
 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.
 Example: Marada Inn
 Bar Graph
9
8
7
Frequency

6
5
4
3
2
1
Rating
Poor Below Average Above Excellent
Average Average
 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.
 Example: Marada Inn
 Pie Chart
 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.
 Summarizing Quantitative Data
 Frequency Distribution
 Relative Frequency and Percent Frequency
Distributions
 Dot Plot
 Histogram
 Cumulative Distributions
 Ogive
 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
 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.
 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
 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
 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
 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.
 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.
 Example: Hudson Auto Repair
 Dot Plot
.. .. . . .
. .. .. .. .. . .
. . . ..... .......... .. . .. . . ... . .. .
50 60 70 80 90 100 110

Cost ($)
 Histogram

 Another common graphical presentation of quantitative

data is a histogram.
 The variable of interest is placed on the horizontal 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.
 Example: Hudson Auto Repair
 Histogram
18
16
14
Frequency

12
10
8
6
4
2
Parts
Cost ($)
50 60 70 80 90 100 110
 Cumulative Distributions
 Cumulative frequency distribution -- shows the
number of items with values less than or equal to the
upper limit of each class.
 Cumulative relative frequency distribution -- shows the
proportion of items with values less than or equal to the
upper limit of each class.
 Cumulative percent frequency distribution -- shows the
percentage of items with values less than or equal to the
upper limit of each class.
 Example: Hudson Auto Repair
 Cumulative Distributions
Cumulative Cumulative
Cumulative Relative Percent
Cost ($) 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
 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.
 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.
 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
 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.
 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.
 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
 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.
 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
 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.
 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
 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
 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.
 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.
 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
 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.
 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.
 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.

 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

 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.
 Scatter Diagram
 A Positive Relationship
y

x
 Scatter Diagram
 A Negative Relationship
y

x
 Scatter Diagram
 No Apparent Relationship
y

x
 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
Example: Panthers Football Team

 Scatter Diagram
y
Number of Points Scored

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