Business statistics - meaning, characteristics, functions and limitations
Business Statistics - Meaning, Characteristics, Functions and Limitations
The word Statistics seems to have been derived from the Latin word “status” or the Italian word Statista. All word means a political state. In early year “statistics” equipped a collection of facts about the people in the state for administration or political purpose.
Webster defined statistics as “the classified facts representing the conditions of the people in a state, especially those facts which can…
Diagrams and graphs - types, difference, uses and general rules of diagrams and graphs
Diagrams and Graphs - Types, Difference, Uses and General Rules of Diagrams and Graphs
Types of diagrams and Graphs:One of the most effective and interesting alternative way in which a statistical data may be presented is through diagrams and graphs. There are several ways in which statistical data may be displayed pictorially such as different types of graphs and diagrams. The commonly used diagrams and graphs to be discussed in subsequent paragraphs are given as under.
Types…
Short note on Measures of central tendency- mean, median and mode
Measure of Central Tendency - Mean, Median and Mode
A measure of central tendency is a single value that attempts to describe a set of data by identifying the central position within that set of data. As such, measures of central tendency are sometimes called measures of central location. They are also classed as summary sstatistic:1. Mean2. Median 3. Mode
The mean, median and mode are all valid measures of central tendency, but under different conditions, some measures of cen…
Average (central tendency) and properties of good average
Average (Central Tendency) and Properties of Good Average
Average (Central Tendency)In the words of Croxton and Cowden, “An average value is a single value within the range of the data that is used to represent all the values in the series.”The value of average lies between the maximum and minimum values of the series. That is why it is also called measure of central tendency.
Properties of a Good AverageThe following are the important properties which a good average should sa…
Arithmetic mean (A.M) : properties, merits and demerits
Arithmetic Mean, Properties of Arithmetic Mean and Merits & Demerits of Arithmetic Mean
Arithmetic Mean: It is a value obtained by adding together all the items and by dividing the total by the number of items. It is also called average. It is the most popular and widely used measure for representing the entire data by one value.Arithmetic mean may be either:1. Simple arithmetic mean, or2. Weighted arithmetic mean.
Properties of Arithmetic Mean:1. The sum of deviations of …
Geometric mean - meaning, merits, demerits, and uses
Geometric Mean - Meaning, Merits, Demerits and Uses
Geometric Mean (G.M) It is defined as nth root of the product of n items or values.i.e., G.M. = n√ (x1. x2. x3 ……xn)
Merits of G.M.:1. It is not affected by the extreme items in the series.2. It is rigidly defined and its value is a precise figure.3. It is capable of further algebraic treatment.4. It is Useful in calculating index number.
Demerits of G.M.:1. It is difficult to understand and to compute.2. It cannot be computed…
Harmonic mean (H.M) : it's merits, demerits and uses
Harmonic Mean (H.M), its Merits, Demerits and Uses
Harmonic Mean: It is defined as the reciprocal of the arithmetic mean of the reciprocal of the individual observations.
Merits of H.M.:1. Like AM and GM, it is also based on all observations.2. It is most appropriate average under conditions of wide variations among the items of a series since it gives larger weight to smaller items.3. It is capable of further algebraic treatment.4. It is extremely useful while averaging certa…
Mode - meaning, merits and demerits
Mode - Meaning, Merits and Demerits
Mode: Mode is that value a dataset, which is repeated most often in the database. In other words, mode is the value, which is predominant in the series or is at the position of greatest density. Mode may or may not exist in a series, or if it exists, it may not be unique, or its position may be somewhat uncertain.
Merits of Mode:1. Mode is the most representative value of distribution, it is useful to calculate model wage.2. It is not affect…
Measure of dispersion - meaning, purpose, types and difference between absolute and relative measure of dispersion
Measure of Dispersion - Meaning, Purpose, Types and Difference between Absolute & Relative Measure of Dispersion
Dispersion is the measure of variation of items. It measures the extent to which the items vary from central value. Dispersion is also known as average of the second order.
In the words of Brooks and Dick,” Dispersion is the degree of the scatter or variation of the variable about a central value.”
In the words Simpson and Kafka,” The measurement of the Scatterne…
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