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Bus/Stats
Chapter 3
32
Business
Undergraduate 2
05/29/2009

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Term
Measures of center
Definition
Descriptive measures that indicate where the center or most typical value of a data set lies
Term
Mean of a Data Set
Definition
Is the sum of the observations divided by the number of observations
Term
Median of a data set
Definition
arrange numbers in increasing order, it is the one in the middle or the average of the two in the middle
Term
Mode of a data set
Definition
the number that occurs the most often
Term
Resistant Measure
Definition
Not sensitive to the influence of a few extreme observations
Term
Trimmed means
Definition
when the smallest and the largest observations are removed before computing the mean
Term
Population mean or mean of the variable
Definition
the mean of the population data
Term
Sample Mean
Definition
The mean of the sample data
Term
Sample size
Definition
the number of observations
Term
Sample Mean
Definition
For a variable x, the mean of the observations for a sample is called a sample mean and looks like what?
Term
Range of a Data set
Definition
Range= Max - Min
Term
Standard deviation
Definition
Measures variation by indicating how far, on average, the observations are from the mean
Term
Deviations from the Mean
Definition
How far each observation is from the mean
Term
Sum of Squared Deviations
Definition
re equation pg 108
Term
Sample Standard Deviation
Definition
Re pg 110
Term
Variation and the Standard Deviation
Definition
The more variation there is in a data set, the larger is its standard deviation
Term
Computing Formula for a Sample Standard Deviation
Definition
re pg 111
Term
Chebychev's Rule
Definition
Atleast 89% of the observations lie within three standard deviations to either side of the mean
Term
Empirical Rule
Definition
roughly 99.7% of the observations lie within three standard deviations to either side of the mean
Term
Percentiles
Definition
data set divided into hundreths or a 100 equal parts
Term
Deciles
Definition
Divide a data set into tenths
Term
Quintiles
Definition
divide a data set into fifths
Term
Quartiles
Definition
Divide a data set into quaters
Term
Q1
Definition
bottom 25% of data from the top 75% of Q2
Term
Q2
Definition
Median
Term
Q3
Definition
the median of the portion of the entire data set that lies at or above the median of the entire data set
Term
Interquartile Range
Definition
IQR is the difference between the first and third quartiles IQR=Q3 - Q1
Term
Five-Number Summary
Definition
Min, Q1, Q2, Q3, Max
Term
Lower Limit
Definition
=Q1-1.5 * IQR
Term
Upper Limit
Definition
Q3+1.5 * IQR
Term
To construct a boxplot
Definition
1) Determine the 5-number summary
2) Draw a horizontal axis on which the numbers obtained in step 1 can be located. Above this axis, mark the quartiles and the min and max with vertical lines
3) Connect the quartiles to make a box and then connect the box to the min and max with lines
Term
To construct a modified boxplot
Definition
re pg 124
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