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Chapter 3
Descriptive Statistics: Numerical Measures
17
Business
Undergraduate 2
09/22/2012

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Term
Sample Statistic
Definition
A numerical value used as a summary measure for a sample (e.g., the sample mean (X-bar), Sample Variance (S2), and the sample standard Deviation S).
Term
Mean
Definition
A measure of central location computed by summing the data values and dividing by the number of observations
Term
Median
Definition
A measure of central location provided by the value in the middle when the data are arranged in ascending order.
Term
Mode
Definition
A measure of LOCATION, defined as the value that occurs with greatest frequency.
Term
Range
Definition
A measure of variability, defined to be the largest value minus the smallest value.
Term
Interquartile Range (IQR)
Definition
A measure of variability, defined to be the difference between the 3rd and 1st quartiles.
Term
Variance
Definition
A measure of variability based on the squared deviations of the data values about the mean.
Term
Standard Deviation
Definition
A measure of variability computed by taking the positive square root of the variance.
Term
Coefficient of Variation
Definition
A measure of relative variability computed by dividing the standard deviation by the mean and multiplying by 100.
Term
Skewness
Definition
A measure of the shape of a data distribution. Data skewed to the left result in negative skewness; a symmetric data distribution results in zero skewness; and data skewed to the right result in positive skewness.
Term
Chebyshev's Theorem
Definition
A theorem that can be used to make statements about the proportion of data values that must be within a specified number standard deviations of the mean.
Term
Empirical Rule
Definition
A rule that can be used to compute the percentage of data values that must be within one,two, and three standard deviations of the mean for data that exhibit a bell-shaped distribution.
Term
Five-Number Summary
Definition
An exploratory data analysis technique that uses five numbers to summarize the data: smallest value, first quartile, median, third quartile, and largest value.
Term
Box Plot
Definition
A graphical summary of data based on a five-number summary.
Term
Covariance
Definition
A measure of linear association between two variable. Positive values indicate a positive relationship; negative values indicate a negative relationship.
Term
Weighted Mean
Definition
The mean obtained by assigning each observation a weight that reflects its importance.
Term
Grouped Data
Definition
Data available in class intervals as summarized by a frequency distribution. Individual values of the original data are not available.
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