Done by

Endeshaw Yibeltal
(1901584)
College of Finance, Management and Development (CFMD)
Advanced Research II

Submitted to Dr. Dejene Mamo

Individual
assignment
May 05, 2021 G.C
Addis Ababa
 ECSU, PFM, weekend Advanced research II

Ethiopian Civil Service University

MA In PFM
WEEK END

Assessment-I of Advanced research-II Max mark: 20%

Name Endeshaw Yibeltal Tsegaye IDNO: Ecsu1901584 Program: weekend s-1

Submission date: May 5, 2021

Answer the following questions

1) The demand for a product on each of 20 days was as follows, (in units).
3, 12, 7, 17, 3, 14, 9, 6, 11, 10, 1, 4, 19, 7, 15, 6, 9, 12, 12, 8 Calculate arithmetic mean

Solution- 1

X 
X  X 1
 X 2
 X 3
 ...  X n

n n
3  12  7  17  3  14  9  6  11  10  1  4  19  7  15  6  9  12  12  8

20
185

20
 9.25

2):- From the following data, calculate arithmetic mean

Daily demand Frequency

> 0≤ 5 4
>5≤10 8
> 10≤ 15 6
> 15≤ 20 2
Solution -2

Daily demand Frequency Mid-point F.m

> 0≤ 5 4 2.5 10
>5≤10 8 7.5 60
> 10≤ 15 6 12.5 75
> 15≤ 20 2 17.5 35
Total( ∑) 20 180

∑ (F.M) / ∑ (f) = 180/20= 9

1
Solution for Individual Assignment By:- Endeshaw Yibeltal
 ECSU, PFM, weekend Advanced research II

3. For the week ended 15 November, the wages earned by the 69 operators employed in the machine
shop of Waves Ltd were as follow: Calculate the weighted arithmetic mean.
Wages Number of operative
Under Birr. 60 3
Birr 60 and under Birr 70 11
Birr 70 and under Birr 80 16
Birr 80 and under birr 90 15
Birr 90 and under birr 100 10
Birr 100 and under birr 110 8
Birr 110 and under birr 6
Solution: - 3

Number of Mid(average
Wages operative(f) wage)m F.M
Under Birr. 60 3 30 90
Birr 60 and under Birr 70 11 65 715
Birr 70 and under Birr 80 16 75 1200
Birr 80 and under birr 90 15 85 1275
Birr 90 and under birr 100 10 95 950
Birr 100 and under birr 110 8 105 840
Birr 110 and under birr 120 6 115 690
Total(∑) 69 5,760

∑ (F.M)/ ∑ (F) = 5,760/69 =83.47

4. Calculate the mode of the following frequency distribution

Value Frequency
At least Less than
10 25 6
25 40 19
40 55 12
55 70 7
70 85 3

Solution 4
Mode is the highest frequency (the value of highest no of invoice) the highest frequency is 19 and its
value is ≥25>40

2
Solution for Individual Assignment By:- Endeshaw Yibeltal
 ECSU, PFM, weekend Advanced research II

To estimate the Mode use:

Estimated Mode = L + f m − fm-1 *W
(FM − fm-1) + (FM − fm+1)

Where:
• L is the lower class boundary of the modal group
• Fm-1 is the frequency of the group before the modal group
• FM is the frequency of the modal group
• Fm+1 is the frequency of the group after the modal group
• W is the group width

L = 25
FM = 19
Fm-1 =6
Fm+1 =12
W =15

25+ (19-6) *15

(19-6)+ (19-12)
25+ 13/ (13+7)*15
25+ (13/20)*15
25+ 0.65*15
25+9.75
34.75
The mode of the above question is = 34.75

5. An analysis of sales invoices outstanding at the end of February is as follows:

Invoice value Number of
At least Less than Invoices
Birr Birr

10 25 4
25 40 8
40 55 18
55 70 9
70 85 3
Calculate the mode of the above frequency distribution

3
Solution for Individual Assignment By:- Endeshaw Yibeltal
 ECSU, PFM, weekend Advanced research II

Solution 5

Mode is the highest frequency (the value of highest no of invoice) the highest frequency is 18 and its
value is ≥40>55

To estimate the Mode use:

Estimated Mode = L + f m − fm-1 *W
(FM − fm-1) + (FM − fm+1)

Where:
• L is the lower class boundary of the modal group
• Fm-1 is the frequency of the group before the modal group
• FM is the frequency of the modal group
• Fm+1 is the frequency of the group after the modal group
• W is the group width

L = 40
FM = 18
Fm-1 =8
Fm+1 =9
W =15

40+ (18-8) *15

(18-8)+ (18-9)
40+10/(10+9) *15
40+10/19 *15
40+150/19
40+7.894
47.894

The mode of the above question is = 47.89

6. Find median of the following values:

(i) 8, 6, 9, 12, 15, 6, 3, 20, 11.

(ii) 8, 6, 7, 2, 1, 11, 3, 2, 5, 2

4
Solution for Individual Assignment By:- Endeshaw Yibeltal
 ECSU, PFM, weekend Advanced research II

Solution 6

First rearrange sequential order increasing or decreasing order

i) 3,6,6,8,9,11,12,15,20
ii) 1,2,2,2.3,5,6,7,8,11

i) n=9
ii) n=10
If n is odd the median = n+1/2.
If n is even the media is the average of the two center value.

So,

i) 9+1/2 = the 5th value is the median, the median is =9

ii) The average of 5th and 6th value is the median
(3+5)/2 = 8/2 =4
The value of the median is =4

7. Find the median of an ungrouped frequency distribution

Value X 8 12 16 17 19
Frequency f 3 7 12 8 5

Solution 7

Value X 8 12 16 17 19

Frequency f 3 7 12 8 5
Cumulative 3 10 22 30 35
frequency f

The sum of the frequency is 35, the total number observation is 35, so the median is (35+1)/2
=36/2=18,
Which means the 18th value of, the 11th – 22th is = 16

5
Solution for Individual Assignment By:- Endeshaw Yibeltal
 ECSU, PFM, weekend Advanced research II

8. The average monthly earning of 135 employees of Hunde Ltd. Have been analyzed as a
grouped frequency distribution as follows:
Average monthly earnings Number of
More than Not more than invoices
Birr Birr
120 140 12
140 160 49
160 180 25
180 200 18
200 220 17
220 240 14

Calculate the median monthly earnings of employees of Hunde Ltd.

Solution 8

Average monthly earnings Number of cumulative

More than Not more than invoices frequency
Birr Birr
120 140 12 12
140 160 49 61
160 180 25 86
180 200 18 104
200 220, 17 121
220 240 14 135

The sum of the frequency is 135, the total number observation is 135, so the median is the value of
135+1/2 =136/2=68th, which means the 68th value of located under

The 62th – 86th is = 160 to 180, >160 ≥180,

To estimate the Median use:

Estimated Median = L + (n/2) – B *W

where:

 L is the lower class boundary of the group containing the median

 n is the total number of data
 B is the cumulative frequency of the groups before the median group
 G is the frequency of the median group
 w is the group width

6
Solution for Individual Assignment By:- Endeshaw Yibeltal
 ECSU, PFM, weekend Advanced research II

L= 160

N= 135

B= 61
G= 25
W= 20

Estimated Median = 160 + (135/2) – 61 *20

25

160+ 6.5(20)

25
160+130/25

160+5.2=165.2

9. The following grouped frequency distribution gives the annual wages of 200 employees in an
engineering firm.
Wages Number of employees
Birr
5000 and less than 5500 4
5500 and less than 6000 26
6000 and less than 6500 133
6500 and less than 7000 35
7000 and less than 7500 2
Calculate mean, median and mode of annual wages.

Solution 9

Number of Average
Wages employees Cf wage F(x)
Bir
5000 and less than 5500 4 4 5,250 21,000
5500 and less than 6000 26 30 5,750 149,500
6000 and less than 6500 133 163 6,250 831,250
6500 and less than 7000 35 198 6,750 236,250
7000 and less than 7500 2 200 7,250 14,500
∑ 200 1,252,500

i) Mean = ∑ ( f. m)/ ∑(f)= 1,252,500/200= 6,262.50

ii) Median is the central wage value of the observation. n=200,

7
Solution for Individual Assignment By:- Endeshaw Yibeltal
 ECSU, PFM, weekend Advanced research II

The median value is the average of the 100th and 101th is the median value of the given data.it located
31th to 163th ≥6000>6500

 To estimate the Median use:

Estimated Median = L + (n/2) − B × w

Where:

 L is the lower class boundary of the group containing the median

 n is the total number of data
 B is the cumulative frequency of the groups before the median group
G is the frequency of the median group

W is the group width
L= 6000

N= 200
B= 30

G= 133

W= 500

Estimated Median = 6000 + (200/2) – 30 *500

133

6000+ 100-30 *500

133

6000+ 70/133*500
6000+0.526*500
6000+263.157
6263.157
6263.16

iii) Mode is the highest frequency value of the given data. The highest frequency is 133 and its
value is ≥6000>6500

8
Solution for Individual Assignment By:- Endeshaw Yibeltal
 ECSU, PFM, weekend Advanced research II

To estimate the Mode use:

Estimated Mode = Estimated Mode = L + f m − fm-1 *W
(FM − fm-1) + (FM − fm+1)

Where:

 L is the lower class boundary of the modal group

 fm-1 is the frequency of the group before the modal group
 fm is the frequency of the modal group
 fm+1 is the frequency of the group after the modal group
 w is the group width
L= 6000
Fm= 133
Fm-1= 26
Fm+1=35
W= 500

Estimated Mode = Estimated Mode = L + f m − fm-1 *W

(FM − fm-1) + (FM − fm+1)

6000+ 133-26 *500

(133-26)+ (133-35)
6000 + 107 *500
(107+98)
6000+ (107/205)*500
6000+ 0.5219*500
6000+260.975
6260.975
6260.98

10. SYMMETRICAL DISTRIBUTION –question :-

(a) In a perfectly symmetrical frequency distribution, the mean of the data is 88. Find median and
mode.
(b) In a moderately skewed frequency distribution, mean = 60 and median = 55. Find mode.

Solution 10
A) If the frequency distribution is perfectly symmetric, the mean, mode and median
Value is the same.

So, the mean data is 88, the mode and median value also 88

9
Solution for Individual Assignment By:- Endeshaw Yibeltal
 ECSU, PFM, weekend Advanced research II

B) If the frequency distribution of moderately skewed

Mode is calculated as

Mode= 3 median – 2 mean

Mode = 3(55)-2(60)

165-120=45

Mode= 45

10
Solution for Individual Assignment By:- Endeshaw Yibeltal