MSS231-241 Lecture 2

Business Statistics I (MSS231/241)
VISUAL DATA DESCRIPTION
Mr. P. Musonda
Mulungushi University
August 14, 2023
Mr. P. Musonda (Mulungushi University) Business Statistics I (MSS231/241) August 14, 2023 1 / 28
LEARNING OBJECTIVES
After completing this chapter, students should be able to:

Develop tables and charts for non numerical (or categorical) and
numerical data
Construct a frequency distribution and histogram, relative and
cumulative frequency distribution, stem and leaf diagram,
dotplots, scatter diagram and contingency tables.
Explain dierent types of variables and measurements.
PRESENTATION OF QUALITATIVE DATA
Frequency table or Frequency distribution

A frequency distribution or frequency table for qualitative data
lists all the categories and number of elements that belong to each of
the categories.
Example 1: A sample of Kitwe town arrests from the Kitwe central
police department gave the following sets of oenses with which
individuals were charged:
Construct the frequency table
Solutions discussed in class
Relative, percentage and cumulative frequency tables
The relative frequency of a category is obtained by dividing
the frequency for a category by the sum of all the frequencies.
The percentage for a category is obtained by multiplying the
relative frequency for that category by 100.
The cumulative frequency is obtained by summing the
frequencies in the preceding and current categories.
Example 2:
From the results in example 1, nd the relative frequency and the
percentages of each class or category.
Bar graph/chart
A bar graph is a graph composed of bars whose heights are the
frequency or percentages of the dierent categories.
A bar graph displays graphically the same information
concerning qualitative data that a frequency distribution shows
in tabular form.
Example 3
From the data in example 2, construct a bar graph with
(i) frequency as height
(ii) percentage as height.
Pie chart
A pie chart is a pie-shaped gure in which the pieces of the pie
represent divisions of a total amount.
A pie chart also graphically displays qualitative data.
To construct a pie chart, a circle is divided into portions that
represent the relative frequencies or percentages belonging to
dierent categories.
Example 4
Construct a pie chart for the frequency distribution in example 2, and
construct a table that gives angle sizes for each category.
Solutions discussed in class.
PRESENTATION OF QUANTITATIVE DATA
The frequency distribution or frequency table.

A frequency distribution is a summary table in which the data
are organised into groups or classes with their corresponding
frequencies.
The frequency for class i is denoted by the symbol ni
Construction of a frequency distribution
Step 1: Determine the range r . Using
r = Largest value − Smallest value
Step 2: Specify the number of classes c and the class width w .
By using the formula
r
2c ≥ n and w = respectively
c
Where c is the number of classes, n is the sample size, w is the
class width.
Cont'd...
Step 3: Specify the class limits and the midpoints or class
marks of the classes.
Step 4: Count the number of items in each class.
These numbers give the class frequencies ni . If we divide the
class frequencies by the sample size n (or the population size N
if we are working with the entire population), we get the relative
frequencies fi .
Example 4
The following data set gives the yearly food stamp expenditure in
thousands of kwachas for 25 households in Ndola city:
Formulate the the frequency table.
Cumulative Frequency Distribution
A cumulative frequency distribution is a table that shows
the cumulative frequency of each class in the frequency
distribution.
If we divide the cumulative frequencies by n (or N if the
population data are available), we get the cumulative relative
frequencies which give the proportion of observations in a
particular class and all previous classes.
Example 5
Construct a cumulative frequency distribution for the data in
Example 4.
Stem and leaf plots.
As a preliminary step in constructing a frequency distribution,
the data may be conveniently arranged into a stem and leaf plot.
This display organises the raw data in tabular form by locating
each observation on a "tree".
This is done by separating the values into stem digits and leaf
digits.
For instance the observation 75 has a stem value of 7 and a leaf
of 5.
Advantage of Stem-Leaf diagram
The stem and leaf plot has the advantage over the frequency
distribution in the sense that no information on the value of each
observation is lost and provides the essential features of a histogram.
DisAdvantage of Stem-Leaf diagram

The disadvantage is that the stem and leaf plot becomes
cumbersome if the number of observations is large or if the data are
expressed to more than two signicant gures. e.g 594
Example 6
The test scores out of 50 for business statistics I students in semister
I are as follows:
Construct a stem-and-leaf display for these data.
GRAPHS
A frequency (or relative frequency) can be graphically represented by
the:
(a) Histogram
(d) Frequency polygon
(c) Cumulative frequency (or cumulative relative frequency)
distribution
(d) Cumulative frequency histogram
(e) Cumulative frequency polygon.
Cont'd..
(i) Histogram
A histogram is a bar graph of a frequency distribution.
In a histogram, typically the exact class limits are entered along
the horizontal axis of the graph while the numbers of
observations are listed along the vertical axis.
In a histogram, there are no gaps between adjacent bars.
Example 7
Construct a histogram for the frequency distribution shown in table
below.
(ii) Cumulative frequency polygon or Ogive
An Ogive is a curve of a data set obtained by representing a
cummulative frequency distribution on a graph.
The curve is obtained by plotting the cummulative frequencies
(y) against the the upper limmit of the corresponding class
intervals (x), and then joining these points by a freehand curve.
Example 8
Construct a cumulative frequency polygon (Ogive) for the data in
Example 7.
Cond't...
(iii) Dot plot
A dot plot also known as dot chart or strip plot, is a type of
simple histogram-like chart used to represent data graphically.
In a dot plot a horizontal axis shows the range for the data.
Each data value is represented by a dot placed above the axis.
Dot plots show the details of the data and are useful for
comparing the distribution of the data for two or more variables.
Example 9
Construct a dot plot for the table below that gives the type of food
snacks MU rst year students had during orientations:
Cont't...
(iv) Scatter plot
A scatter diagram is a graphical presentation of the relationship
between two quantitative variables, and a trendline is a line that
provides an approximation of the relationship.
Example 10
The table below gives the nal GPA Mulungushi University students
graduates and the corresponding salary they are getting:
GPA 1.00 1.50 2.00 2.50 3.00 3.50 4.50
Salary(ZMK) 2500 2700 2400 2600 3500 5200 7000
Construct the scatter plot for the data given above.
Cond't..
(v) Contingency table (Cross-tabulation)
A contingence table also called a two-way frequency table is a
tabular summary of data for two variables.
The classes for one variable are represented by the rows; the
classes for the other variable are represented by the columns.
Example 11
In business statistics I class, there are 6 tall male students, 3 tall
female students, 4 shot males students and 9 shot female students.
Represent this data in a contingence table.
References
Recommended books in the course outline

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Business Statistics I (MSS231/241)

VISUAL DATA DESCRIPTION

After completing this chapter, students should be able to:

Frequency table or Frequency distribution

Solutions discussed in class

Solutions discussed in class.

The frequency distribution or frequency table.

Formulate the the frequency table.

DisAdvantage of Stem-Leaf diagram

Construct a stem-and-leaf display for these data.

A dot plot also known as dot chart or strip plot, is a type of

simple histogram-like chart used to represent data graphically.

Each data value is represented by a dot placed above the axis.

comparing the distribution of the data for two or more variables.

Recommended books in the course outline

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