tailieunhanh - Quantitative Methods for Business chapter 6

C H A P T E R 6 General directions – summarizing data Chapter objectives This chapter will help you to: ■ ■ ■ ■ ■ ■ understand and use summary measures of location; the mode, median and arithmetic mean understand and use summary measures of spread; the range, quartiles, semi inter-quartile range, standard deviation, variance present order statistics using boxplots find summary measures from grouped data use the technology: summarize data in EXCEL, | CHAPTER 6 General directions -summarizing data Chapter objectives This chapter will help you to understand and use summary measures of location the mode median and arithmetic mean understand and use summary measures of spread the range quartiles semi inter-quartile range standard deviation variance present order statistics using boxplots find summary measures from grouped data use the technology summarize data in EXCEL MINITAB and SPSS become acquainted with business uses of summary measures in control charts This chapter is about using figures known as summary measures to represent or summarize quantitative data. Because they are used to describe sets of data they are also called descriptive measures. The summary measures that you will come across are very effective and widely used methods of communicating the essence or gist of a set of observations in just one or two figures particularly when it is important to compare two or more distributions. Knowing when to use them and how to interpret them will enable you to communicate quantitative information effectively. There are two basic ways of summarizing data. The first is to use a figure to give some idea of what the values within a set of data are like. 178 Quantitative methods for business Chapter 6 This is the idea of an average something you are probably familiar with you may have achieved an average mark you may be of average build etc. The word average suggests a middle or typical level. An average is a representative figure that summarizes a whole set of numbers in a single figure. There are two other names for averages that you will meet. The first is measures of location used because averages tell us where the data are positioned or located on the numerical scale. The second is measures of central tendency used because averages provide us with some idea of the centre or middle of a set of data. The second basic way of summarizing a set of data is to measure how widely the figures are spread out or .

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