Business Stats Ken Black CH 19 Supplements Supplement01

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SUPPLEMENT 1

SUMMATION NOTATION

In Chapter 3, the symbol (the Greek letter sigma) was introduced. In mathematics, this symbol means to sum a set of values as described by the notation following it. The value given below is the beginning value and the value given above is the final value of the sum. Generally,

xi = x1 + x2 + x3 + ... + xn
i=1

(Rule 1) For example, if x1 = 3, x2 = 5, x3 = 7, and x4 = 12,

xi = x1 + x2 + x3 + x4 = 3 + 5 + 7 + 12 = 27
i=1

The second summation rule is:

cxi = c xi
i=1 i=1

(Rule 2) For example, if c = 8, x1 = 3, x2 = 5, x3 = 7, and x4 = 12,

8 xi = 8 x1 + 8 x2 + 8 x3 + 8 x4 = 8(3) + 8(5) + 8(7) + 8(12) = 24 + 40 + 56 + 96 = 216


i=1

and

8 xi = 8 xi = 8(x1 + x2 + x3 + x4 ) = 8(3 + 5 + 7 + 12) = 8(27) = 216


i=1 i=1

The third summation rule is

( xi + y i ) = xi + y i
i=1 i=1 i=1

(Rule 3) For example, if x1 = 2, x2 = 4, x3 = 5, y1 = 1, y2 = 3, and y3 = 6,

(xi + yi ) = (x1 + y1) + (x2 + y2 ) + (x3 + y3 )


i=1

= (2 + 1) + (4 + 3) + (5 + 6) = 3 + 7 + 11 = 21

S1-1

S1-2

SUPPLEMENT 1 SUMMATION NOTATION

and

(xi + yi ) = xi + yi = (x1 + x2 + x3 ) + ( y1 + y2 + y3 )
i=1 i=1 i=1

= (2 + 4 + 5) + (1 + 3 + 6) = 11 + 10 = 21 The fourth summation rule is:

c = n c
i=1

(Rule 4) For example, if c = 12 and n = 5,


5

12 = 12 + 12 + 12 + 12 + 12 = 60
i=1

but 60 = 5(12), so

12 = 5(12) = 60
i=1

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