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Chapter 1

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0% found this document useful (0 votes)
21 views15 pages

Chapter 1

Uploaded by

Chinmoy Das
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd
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What is Statistics

Chapter 1
GOALS

 Understand why we study statistics.


 Explain what is meant by descriptive
statistics and inferential statistics.
 Distinguish between a qualitative variable
and a quantitative variable.
 Describe how a discrete variable is different
from a continuous variable.
 Distinguish among the nominal, ordinal,
interval, and ratio levels of measurement.
What is Meant by Statistics?

Statistics is the science of


collecting, organizing, presenting,
analyzing, and interpreting
numerical data to assist in
making more effective decisions.
Who Uses Statistics?

Statistical techniques are used


extensively by marketing,
accounting, quality control,
consumers, professional sports
people, hospital administrators,
educators, politicians, physicians,
etc...
Types of Statistics – Descriptive
Statistics

Descriptive Statistics - methods of organizing,


summarizing, and presenting data in an
informative way.
EXAMPLE 1: A Gallup poll found that 49% of the people in a survey knew the name of
the first book of the Bible. The statistic 49 describes the number out of every 100
persons who knew the answer.

EXAMPLE 2: According to Consumer Reports, General Electric washing machine


owners reported 9 problems per 100 machines during 2001. The statistic 9
describes the number of problems out of every 100 machines.

Inferential Statistics: A decision, estimate,


prediction, or generalization about a
population, based on a sample.
Population versus Sample

A population is a collection of all possible individuals, objects, or


measurements of interest.

A sample is a portion, or part, of the population of interest


Types of Variables

A. Qualitative or Attribute variable - the


characteristic being studied is nonnumeric.
EXAMPLES: Gender, religious affiliation, type of automobile
owned, state of birth, eye color are examples.

B. Quantitative variable - information is reported


numerically.
EXAMPLES: balance in your checking account, minutes
remaining in class, or number of children in a family.
Quantitative Variables - Classifications

Quantitative variables can be classified as either discrete


or continuous.

A. Discrete variables: can only assume certain values


and there are usually “gaps” between values.
EXAMPLE: the number of bedrooms in a house, or the number of hammers sold at the local
Home Depot (1,2,3,…,etc).

B. Continuous variable can assume any value within a


specified range.
EXAMPLE: The pressure in a tire, the weight of a pork chop, or the height of students in a
class.
Summary of Types of Variables
Four Levels of Measurement

Interval level
Nominal level- -similar
data that
to the
is classified
ordinal level,
into with
categories
the additional
and cannot
property
be that
arranged in amounts
meaningful any particular
of differences
order. between data values can be
determined.
EXAMPLES:There
eyeis no gender,
color, naturalreligious
zero point.
affiliation.
EXAMPLE: Temperature on the Fahrenheit scale.

Ratio level
Ordinal - the
level interval data
– involves levelarranged
with an inherent
in somezero starting
order, point.
but the differences
Differences
between data and ratioscannot
values are meaningful for thisorlevel
be determined of measurement.
are meaningless.
EXAMPLE: During a taste test of 4 soft drinks, Mellow Yellow was ranked number
1, Sprite number
EXAMPLES: 2, Seven-up
Monthly income ofnumber 3, andorOrange
surgeons, Crush
distance numberby
traveled 4.
manufacturer’s representatives per month.
Summary of the Characteristics for
Levels of Measurement
Self- Exercise

a. Student IQ ratings?

b. Distance students travel to class?

c. The jersey numbers of a football team?

d. A student's state of birth?

e. A student’s academic class- freshman, junior, senior?

f. Number of hours students study per week?


Answer

 a. Interval
 b. Ratio
 c. Nominal
 d. Nominal
 e. Ordinal
 f. ratio
Exercise 2
 Place these variable in the correct box: a. Salary, b. Gender, c. Sales
of CD, d. Soft drinks preference, e. temperature, f. SAT scores, g.
Student rank in the class, h. Rating of a professor, i. Number of home
video screens.
Discrete Continuous

Qualitative

Quantative

Nominal

Ordinal

Interval

Ratio
Solution
Discrete Continuous

Qualitative Gender, soft drink preference, student rank in


class, rating of a professor

sales volume of CD, SAT scores, Number of home


Quantative salary, termperature
screens

Nominal Gender

soft drink preference, student rank in class, rating


Ordinal
of professor

Interval SAT scores temperature

Ratio sales volume of CD, number of home screens salary

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