5. Statistics???
5GROUP - A
Statistics is the science of collecting, organizing, presenting,
analyzing, and interpreting numerical data for the purpose of assisting
in making a more effective decision.
Statistical techniques are used to make decisions that effect our
daily lives
Insurance companies use statistics to set rates for different
insurance
City corporation may want to examine the contamination level of
different lake water
Medical professional assess the performance of a new drug over
the existing one
No matter what is your future line of work, you will make
decisions that will involve data
6. Data Set collected from Qubee Communications Ltd.
6GROUP - A
This data set contains last Twelve months Sales volume against Advertisement cost.
Months Sales (million) Advertisement Cost (million)
January, 13 32.24 4
February,13 37.6 4.8
March,13 38.4 4.8
April,13 40.4 5.2
May,13 39.8 4.6
June,13 41.2 5.6
July,13 40 5.4
August,13 45.6 6
September,13 48 5.8
October, 2013 40.2 5.5
November, 2013 42.8 6.1
December, 2013 50.35 8.3
15. 15GROUP - A
Range: Highest value for sales is 50.35 and lowest value is 32.24.
So, Range for sales = 50.35 – 32.24 = 18.11
Highest value for advertisement cost is 8.3 and lowest value is 4.
So, Range for advertisement cost = 8.3 – 4 = 4.3
Mean deviation: For sales,
= 3.54
For advertisement cost, MD = ∑| X − X |/n = .71
MD = ∑( Y − Y )/n
19. 19GROUP - A
The CV is the ratio of the standard deviation to the arithmetic mean,
expressed as a percentage:
100×=
X
s
CV
sales 100
38.41
6.4
×=CV =11.12%
advertisement cost
100
51.5
03.1
×=CV = 18.69%
21. 21
Correlation and regression are the most commonly used techniques for
investigating the relationship between two quantitative variables.
Comments for Scatter diagram:
We observe from the above scatter diagram that, the points are going upwards
from left side to right side and it is strong positive correlation. It means when
company increased their advertisement cost; sales have been increased.