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Chapter 5 Measure of Dispersion
Chapter 5 Measure of Dispersion
LESSON OUTCOMES
By the end of this chapter, you will be able to :
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A distribution can be effectively describes by central location Help us to understand the spread or variability of a set of
(using mean, median or mode) and the dispersion. Dispersion of data
a distribution provide us additional information on the
reliability of the measure of central location. If the data are
Gives additional information to judge reliability of the
widely dispersed, the central location is said to be less measure of central tendency
representatives of the data as a whole. Helps in comparing dispersion that is present in various
The central location for the for data with little dispersion is sample
more reliable. Measure of dispersion :
A widely spread dispersion should not being used for decision Range
making. interquartile range
For eg : a financial analyst knows that widely dispersed earning Average
indicate a high risk to stockholders and creditors whereas small Absolute deviation
dispersion of earnings indicates stable earnings and therefore Variance
lower risk level. Standard deviation
Coefficient of variance
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weakness is, it does not take into account how the data are distributed Number of houses, f 25 30 16 14 5 90
from the smallest to the largest.
Range = 4-0
=4
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Daily wages (RM) Class Boundary Number of workers Another measurement of distance dispersion is quartile deviation. it is
10-19 9.5-19.5 6 defined as :
20-29 19.50-29.5 10 Quartile deviation = ½ (Q3 - Q1)
30-39 29.5-39.5 30
40-49 39.5-49.5 20 It is also frequent called as semi-interquartile range.
50-59 49.5-59.5 10 Find the interquartile and range qartile deviation of the following data :
60-69 59.5-69.5 4 9 11 14 13 15 17 18
37 18 47 18 61 20 50
Range = RM69.50 - RM9.50 = RM60
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5 ≦ x < 10 6
10 ≦ x < 15 8
Location of Q1 = 14+ 1= 3.75 = 4th observation and Q1 = 14
4 15 ≦ x < 20 5
Location of Q3 = 3 (14 + 1) = 11.25 = 11th observation and Q3 = 37 20 ≦ x < 25 2
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Interquartile range = Q3 - Q1 = 37 - 14 = 23
Location of Q1 = ∑f = 23 = 5.75
Quartile deviation = 1 (Q3 - Q1) = 1 (37 - 14) = 11.5, 4 4
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Thus, the interquartile range is 23 and the quartile deviation is 11.5 Q1 = 5 + 5.75 - 2 x 5 = 8.125
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The most practical and commonly used measures of For group data that is in the form of distribution of class
variation in population standard deviation which is intervals and each class interval is represented by the mid-
reprensented by the symbol σ. This measure is the square point, the following formulae for population is used.
root of the population variance and always defined as : σ2 = 1∑f(X - μ)2
N
σ = √σ2
OR
OR σ2 = 1∑fX2 - ∑fμ2
N N
σ = 1∑(X - μ)2
N Find the population variance and standard deviation of the following
frequency distribution. Class interval Frequency, f
18 ≦ x < 24 12
24 ≦ x <30 8
30 ≦ x <24 4
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Varience for a sample of n measurement is the sum of the Sample standard deviation is the square root of the sample
squared distances of measurements from the mean divided variance and always defined as :
by (n-1). Normally denoted as s2.
s = √s2
s2 = 1 ∑(x - x)2
n-1 OR
OR
s= 1 ∑(x - x)2
Refer to your textbook page 128. n-1
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Example : Typist Ani can type 40 words per minute with a standard deviation of 5,
while typist Jura can type 160 words per minute with standard deviation of 10.
Which ttypist is more consistent in her work?
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MEASURE OF SKEWNESS
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