2. Slide 3-2 Copyright © 2008 Pearson Education, Inc. Chapter 3 Descriptive Measures

3. Slide 3-3 Copyright © 2008 Pearson Education, Inc. Definition 3.1 Mean of a Data Set The mean of a data set is the sum of the observations divided by the number of observations.

4. Slide 3-4 Copyright © 2008 Pearson Education, Inc. Definition 3.2 Median of a Data Set Arrange the data in increasing order. If the number of observations is odd, then the median is the observation exactly in the middle of the ordered list. If the number of observations is even, then the median is the mean of the two middle observations in the ordered list. In both cases, if we let n denote the number of observations, then the median is at position (n + 1) / 2 in the ordered list.

5. Slide 3-5 Copyright © 2008 Pearson Education, Inc. Definition 3.3 Mode of a Data Set Find the frequency of each value in the data set. If no value occurs more than once, then the data set has no mode. Otherwise, any value that occurs with the greatest frequency is a mode of the data set.

6. Slide 3-6 Copyright © 2008 Pearson Education, Inc. Table 3.1 Table 3.2 Data Set I Data Set II Example 3.1 Professor Hassett spent one summer working for a small mathematical consulting firm. The firm employed a few senior consultants, who made between $800 and $1050 per week; a few junior consultants, who made between $400 and $450 per week; and several clerical workers, who made $300 per week. The firm required more employees during the first half of the summer than the second half. The tables list typical weekly earnings for the two halves of the summer.

7. Slide 3-7 Copyright © 2008 Pearson Education, Inc. Table 3.4 Solution Example 3.1 Interpretation: The employees who worked in the first half of the summer earned more, on average (a mean salary of $483.85), than those who worked in the second half (a mean salary of $474.00).

8. Slide 3-8 Copyright © 2008 Pearson Education, Inc. Figure 3.1 This figure shows the relative positions of the mean and median for right-skewed, symmetric, and left-skewed distributions. Note that the mean is pulled in the direction of skewness, that is, in the direction of the extreme observations. For a right-skewed distribution, the mean is greater than the median; for a symmetric distribution, the mean and the median are equal; and, for a left-skewed distribution, the mean is less than the median.

9. Slide 3-9 Copyright © 2008 Pearson Education, Inc. Definition 3.4

10. Slide 3-10 Copyright © 2008 Pearson Education, Inc. Figure 3.3 The “data sets” have the same Mean, Median, and Mode yet clearly differ! Measures of Variation or Measures of Spread

11. Slide 3-11 Copyright © 2008 Pearson Education, Inc. Definition 3.5 Range of a Data Set The range of a data set is given by the formula Range = Max – Min, where Max and Min denote the maximum and minimum observations, respectively.

12. Slide 3-12 Copyright © 2008 Pearson Education, Inc. Figure 3.4 Measures of Variation or Measures of Spread: The Range Team I has range 6 inches, Team II has range 17 inches.

13. Slide 3-13 Copyright © 2008 Pearson Education, Inc. Definition 3.6

14. Slide 3-14 Copyright © 2008 Pearson Education, Inc. Formula 3.1

15. Slide 3-15 Copyright © 2008 Pearson Education, Inc. Table 3.10 Table 3.11 Standard Deviation: the more variation, the larger the standard deviation. Data set II has greater variation.

16. Slide 3-16 Copyright © 2008 Pearson Education, Inc. Figure 3.6 Data set II has greater variation and the visual clearly shows that it is more spread out. Data Set I Figure 3.7 Data Set II

17. Slide 3-17 Copyright © 2008 Pearson Education, Inc. Definition 3.7 Quartiles Arrange the data in increasing order and determine the median. The first quartile is the median of the part of the entire data set that lies at or below the median of the entire data set. The second quartile is the median of the entire data set. The third quartile is the median of the part of the entire data set that lies at or above the median of the entire data set.

18. Slide 3-18 Copyright © 2008 Pearson Education, Inc. Definition 3.8 Interquartile Range The interquartile range, or IQR, is the difference between the first and third quartiles; that is, IQR = Q 3 – Q 1.

19. Slide 3-19 Copyright © 2008 Pearson Education, Inc. Definition 3.9 Five-Number Summary The five-number summary of a data set is Min, Q 1, Q 2, Q 3, Max.

20. Slide 3-20 Copyright © 2008 Pearson Education, Inc. Definition 3.10

21. Slide 3-21 Copyright © 2008 Pearson Education, Inc. Procedure 3.1

22. Slide 3-22 Copyright © 2008 Pearson Education, Inc. Definition 3.11

23. Slide 3-23 Copyright © 2008 Pearson Education, Inc. Definition 3.12

24. Slide 3-24 Copyright © 2008 Pearson Education, Inc. Figure 3.14 Definition 3.13

25. Slide 3-25 Copyright © 2008 Pearson Education, Inc. Definition 3.14 Definition 3.15