INTRODUCTORY STATISTICS

CHAPTER ONE

INTRODUCTION
 1.1 WHAT IS STATISTICS?

1.2 TYPES OF STATISTICS

1.3 POPULATION VERSUS SAMPLE

1.4 BASIC TERMS

1.5 TYPES OF VARIABLES

1.6 CROSS-SECTION VS. TIME SERIES DATA

1.7 SOURCES OF DATA

1.8 SUMMATION NOTATION

 1.1 WHAT IS STATISTICS?

Numerical facts (more common)

Discipline / field of study

Group of methods used to

collect, analyse, present, interpret data
&
to make decision.
 1.2 TYPES OF STATISTICS

Descriptive
Consists of methods for organizing, displaying and
describing data by using tables, graphs and
summary measure.

Inferential
Consists of methods that use the sample result to
help make decisions or predictions about a
population.
1.3 POPULATION VERSUS SAMPLE

Population
All elements whose characteristics being studied.
population = target pop.

Sample
Portion of population selected for study.

Sample Survey
Technique of collecting information from a portion of the population.

Census
Survey that includes every member of the population
 1.3 POPULATION VERSUS SAMPLE

Representative sample
Sample that represents characteristics of pop. as closely as
possible.

Random sample
Sample drawn in such a way that each element of the pop.
has a chance of being selected.

If CBS is the same for each element of the pop., it is called

simple random sample.
 1.4 BASIC TERMS

Element or member (of sample/pop.)

specific subj./obj., about which inform. is collected.

Variable
characteristics under study that assume different values for different
elements.
Contrast to variable, value of a constant is fixed.

Observation or measurement
the value of a variable for an element.

Data set
collection of observation on one or more variable.
 1.5 TYPES OF VARIABLES
1- Quantitative
variable that can be measured numerically
(i) Discrete
Variables whose values are countable & assume certain values without
intermediate values. Table 1 shows no. cars and house in four towns.
Table 1
No. of cars 80 70 100 120
No. of houses 100 120 130 80

(ii) Continuous
Variables that can assume any numerical values over a certain interval.
Table 2 shows weight and length of new born babies.
Table 2
Weight (kg) 1.90 1.85 2.15
Length (cm) 45.5 40.3 42.9
 1.5 TYPES OF VARIABLES

2- Qualitative (categorical)
Variable that can’t assume a numerical value but can be
classified into 2 or more nonnumeric categories. Table 1
shows weather state during last week.
Table 1
Sat Sun Mon Tue Wed Thu Fri
shower rainy sunny clouds shower shower rainy

(qualitative data based on qualitative or categorical var.)

 1.6 CROSS-SECTION VS. TIME SERIES
DATA

1- Cross-section Data (CSD)

Data collected on different elements at the same (period) point in time.
Table 1 shows the no. of MBA students at four universities in 2021
Table 1

University AU DU SU UST
No. of MBA stud. 36 40 120 65
2- Time-series data (longitudinal)
Data collected on same elements for the same variable at different period
of time. Table 2 shows no. of MBA students at UST during 2018 – 2021
Table 2

Year 2018 2019 2020 2021

No. of MBA stud. 36 40 50 65
 1.7 SOURCES OF DATA

Internal (firm records), External (gov. records), Survey, Experiments

1- Primary data
collected first hand for specific purpose.
2- Secondary data
data collected for other purposes but satisfy research objectives.
 1.8 SUMMATION NOTATION
Mathematics expression to denote the concept of the "sum of values"
Sigma x = Σx
(i,e, Sum of all x values)

x 3 2 10 3 20
y 6 7 8 17 5

Find Σx2, Σ(x)2, Σxy, Σx2y, Σxy2, Σ(xy)2

Assignmnet page 20 -21

Q1 – 4 , and Q7
 CHAPTER TWO

ORGANIZING DATA
 2.1 RAW DATA

2.2 ORGANIZING & GRAPHING QUALITATIVE DATA

2.3 ORGANIZING & GRAPHING QUANTITATIVE

DATA

2.4 SHAPES OF HISTOGRAMS

2.5 CUMULATIVE FREQUENCY DISTRIBUTIONS

2.6 STEM & LEAF DISPLAY

 2.1 Raw Data

Data recorded in the sequence in which they are

collected & before they are processed or ranked.

RD = ungrouped data
2.2 Organizing & Graphing Qualitative Data

2.2.1 Frequency Distribution (FD)

Freq.: no. of times items appear in a single category.
F.D. exhibits how freq. distributed over various
categories.
F.D. Table = Frequency table (include tally).

F.D. qlt. data: list of all categories & the no. of

elements that belongs to each of the categories.
2.2 Organizing & Graphing Qualitative Data

2.2.2 Relative Frequency & Percentage Distribution

Relative frequency of a category obtained by

dividing the frequency of the category by the total
number (sum) of all categories.

Percentage distribution is [RF x 100]

2.2 Organizing & Graphing Qualitative Data

2.2.3 Graphical presentation of qualitative data

Bar Graph

Pie Chart
2.2 Organizing & Graphing Qualitative Data

Bar Graph
A graph made of bars whose heights represent the
freq. of respective categories.
 Car Buyers

HONDA 200

TOYOTA 250

FORD 50

VOLVO 180

OPEL 70

BMW 130

MERCEDES 120
300
250
200
150 Series1

100
50
0
2.2 Organizing & Graphing Qualitative Data

Pie Chart
A circle divided into portions that represents the relative
frequencies of percentages of a population or a sample
belonging to different categories.

Pie Angle size = category RF x 360

 Car buyers RF (%)
HONDA 200 0.2 (20%)
TOYOTA 250 0.25 (25%)
FORD 50 0.05 (5%)
VOLVO 180 0.18(18%)
OPEL 70 0.07 (7%)
BMW 130 0.13(13%)
MERCEDES 120 0.12 (12%)
Total (n) 1000 1.00 (100%)
 Car buyers RF Angle
HONDA 200 0.2 72
TOYOTA 250 0.25 90
FORD 50 0.05 18
VOLVO 180 0.18 64.8
OPEL 70 0.07 25.2
BMW 130 0.13 46.8
MERCEDES 120 0.12 43.2
HONDA
TOYOTA
FORD
VOLVO
OPEL
BMW
MERCEDES
HONDA
TOYOTA
FORD
VOLVO
OPEL
BMW
MERCEDES
buyers

HONDA
TOYOTA
FORD
VOLVO
OPEL
BMW
MERCEDES
 buyers

MERCEDES HONDA

BMW

OPEL
TOYOTA
VOLVO FORD
 buyers

MERCEDESHONDA
12% 20%
BMW
13%
OPEL
7% TOYOTA
VOLVO 25%
FORD
18%
5%
 buyers

MERCEDES
HONDA
12% 20%
BMW
13%

OPEL
7% TOYOTA
25%
VOLVO
FORD
18%
5%
2.3 Organizing & Graphing Quant. Data

2.3.1 Frequency Distribution

How to group data according to frequency distribution.

Grouped data are data condensed in form of classes.

The following are raw data

 Raw data

189 245 360 415 465 460 200 187

295 354 414 330 490 475 179 290
225 275 240 366 348 408 455 173
185 235 181 165 372 425 163 183
153 230 270 324 384 430 480 250
285 342 155 220 159 445 495 171
157 175 210 260 169 396 167 500
205 255 306 435 485 280 336 312
161 265 318 378 420 470 300
177 215 390 440 402 450 151
 2.3 Organizing & Graphing Quant. Data

You need to group data into classes.

Each class will’ve lower, upper limit, class width/size ,
class boundary and mid point.

Class = interval includes no. bet. LL & UL

Class LL = lowest value in the class
Class UL = highest value in the class
Class boundary = (UCL + LCL of the next class) / 2
Class mid point = (LCL + UCL) / 2
Class size (width/interval) = HCB – LCB
(difference between 2 LL of 2 consecutive classes)
 The data after grouping will look like this…..
HOW!
Class limits Class boundaries Class width Class mid point
151 - 200 150.5 to < 200.5 50 175.5

201 - 250 200.5 to < 250.5 50 225.5

CLASS UL
CLASS

CLASS LL
 HOW to group these data!

189 245 360 415 465 460 200 187

295 354 414 330 490 475 179 290
225 275 240 366 348 408 455 173
185 235 181 165 372 425 163 183
153 230 270 324 384 430 480 250
285 342 155 220 159 445 495 171
157 175 210 260 169 396 167 500
205 255 306 435 485 280 336 312
161 265 318 378 420 470 300
177 215 390 440 402 450 151
 2.3 Organizing & Graphing Quant.
Data
Step no. 1 arrange the data from smallest to largest value.
Step no. 2 calculate no. classes
Apply the rule [ 2k > n]
k = no. of classes
n = total no. of observations
N = 78 ,
[ 26 = 64], [ 27 = 128] then classes should be 7
Step no. 3 calculate class interval
Ci =
Ci = = 49.9 ≈ 50
Step no. 4 form table with tally
 Arranged data

151 171 200 250 300 360 415 465

153 173 205 255 306 366 420 470

155 175 210 260 312 372 425 475

157 177 215 265 318 378 430 480

159 179 220 270 324 384 435 485

161 181 225 275 330 390 440 490

163 183 230 280 336 396 445 495

165 185 235 285 342 402 450 500

167 187 240 290 348 408 455

169 189 245 295 354 414 460

Class

151

201

251

301

351

401

451
Class limits Class boundaries Class width Class mid point

151 - 200 150.5 to < 200.5 50 175.5

201 - 250 200.5 to < 250.5 50 225.5

251 - 300 250.5 to < 300.5 50 275.5

301 - 350 300.5 to < 350.5 50 325.5

351 - 400 350.5 to < 400.5 50 375.5

401- 450 400.5 to < 450.5 50 425.5

451 - 500 450.5 to < 500.5 50 475.5

 CL CB C MP Tally Frequency
151 - 200 150.5 to < 200.5 175.5 ll̷ll ll̷ll ll̷ll ll̷ll l 21

201 - 250 200.5 to < 250.5 225.5 ll̷ll ll̷ll 10

251 - 300 250.5 to < 300.5 275.5 ll̷ll ll̷ll 10

301 - 350 300.5 to < 350.5 325.5 ll̷ll lll 8

351 - 400 350.5 to < 400.5 375.5 ll̷ll lll 8

401- 450 400.5 to < 450.5 425.5 ll̷ll ll̷ll l 11

451 - 500 450.5 to < 500.5 475.5 ll̷ll ll̷ll 10

 2.3 Organizing & Graphing Quant.
Data

2.3.3 Relative Freq. & Percentage Distribution Table

Relative Frequency = freq. of the class/ Total freq.

Percentage = RF x 100
 CL Frequency Rel. Freq. Percent.

151 - 200 21 0.27 26.9

201 - 250 10 0.13 12.8
251 - 300 10 0.13 12.8
301 - 350 8 0.10 10.3

351 - 400 8 0.10 10.3

401- 450 11 0.14 14.1
451 - 500 10 0.13 12.8

Total 78 1.00 100

2.3 Organizing & Graphing Quant.
Data

2.3.4 Graphing Grouped Data

Histogram
Polygon
Pie chart!
2.3 Organizing & Graphing Quant.
Data

Histogram
A graph drawn from FD, RFD or PD
&
named accordingly (FH, RFH, Percentage H)

Classes on H axis
F, RF & P on V axis.

Difference bet. bar graphs and histogram?

Truncation (-//-)
2.3 Organizing & Graphing Quant.
Data
Histogram
 2.3 Organizing & Graphing Quant.
Data

Polygon

A graph formed by joining the MPs of the top of successive

bars in hist. with straight line.

Freq polygon or polygon also freq. distrib. curve

Always add two more points at each ends to bring the line
to the H axis.
2.3 Organizing & Graphing Quant.
Data

Polygon
2.3 Organizing & Graphing Quant.
Data

Polygon
2.3 Organizing & Graphing Quant.
Data

Polygon
2.3 Organizing & Graphing Quant.
Data

2.3.5 more on classes & FD

Less than method

Single-valued classes
2.4 Shapes of Histograms

Symmetric

Skewed (left/right)

Uniform or rectangular
2.3 Organizing & Graphing Quant.
Data
Histogram
 2.5 Cumulative Frequency
Distributions

Only for quantitative data.

CFD table gives the total no. of values fall below a certain
value.

In CFD each class has same LL but a dif. UL.

+ CFD there is CRD & CPD

CFD graph called ogive.

Ogive approx. CF for any interval (adv.)

Ogive starts at LB of first class, ends at the UB of last class.

 2.5 Cumulative Frequency
Distributions
class freq Cumulative freq

151 - 200 21 21

201 - 250 10 31

251 – 300 10 41

301 – 350 8 49

351 – 400 8 57

401 – 450 11 68

451 - 500 10 78
2.5 Cumulative Frequency
Distributions
 2.6 Stem & Leaf Display

A form of presenting quantitative data.

Every observation will be presented.

Each value divided into 2 portions, stem & leaf.

To construct SLD
Two digits no., first digit (on left) be stem, next be the leaf.
 2.6 Stem & Leaf Display
23, 34, 45, 65, 76, 54, 56, 97, 90, 87, 32, 43, 12,
13, 51, 25, 62

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

You can present the value as it occurs

(ordering isn’t mandatory)
23, 34, 45, 65, 76, 54, 56, 97, 90, 87,
32, 43, 12, 13, 51, 25, 62

1 23
2 35
3 24
4 35
5 146
6 25
7 6
8 7
9 07
 123, 135, 273, 295, 342, 354, 4983,
4995, 5521, 5524, 5526, 6920, 6959,
7269, 7289, 7292, 7295, 7299, 8572,
8587, 8589, 8593, 9410, 9437, 9449,
9459, 9470, 9488
1 23 35
2 73 95
3 42 54
49 83 95
55 21 24 26
69 20 59
72 69 89 92 95 99
85 72 87 89 93
94 10 37 49 59 70 88
0 6
1 179
2 26
3 2478
4 15699
5 368
6 24457
7
8 56
0 -2 6 *1 7 9 *2 6
3 -5 2 4 7 8 *1 5 6 9 9* 3 6 8
6 -8 2 4 4 5 7 * *5 6