lecture-5-14102024-102018pm
lecture-5-14102024-102018pm
• Even though the means are the same for both brands, the spread, or variation, is
quite different.
• Brand B performs more consistently; it is less variable.
Measures of Dispersion
• The range for brand A shows that 50 months separate the largest data value from the smallest data value.
• For brand B, 20 months separate the largest data value from the smallest data value, which is less than one-half of
brand A’s range.
EXAMPLE 3–17 Internet Connections
• The number of cable modem connections in millions for a
select 6-year period are shown. Find the range.
SOLUTION
EXAMPLE 3–17 Internet Connections
• The number of cable modem connections in millions for a
select 6-year period are shown. Find the range.
SOLUTION
Range R = 60 - 14 = 46 million connections
Variation
• Data variation refers to the difference or distance each data value is from the mean. This difference
or distance is called a deviation.
• In the outdoor paint example, the mean for brand A paint is μ = 35 months, and say a specific can
lasted for 50 months, the deviation is X – μ or 50 - 35 = 15. Hence, the deviation for that data value
is 15 months.
• The sum of the deviations for all data values about the mean (without rounding) will always be
zero. That is, Σ(X - μ) = 0.
• So, we sum the squares, Σ(X - μ)2 and find the mean of these squares by dividing by N (the total
number of data values), symbolically Σ(X - μ)2/N. This measure is called the population variance
and is symbolized by σ2, where σ is the symbol for Greek lowercase letter sigma. Since this
measure (σ2) is in square units and the data are in regular units, statisticians take the square root of
the variance and call it the standard deviation.
Sample Variance and Standard Deviation
Definition
Sample Variance and Standard Deviation
Definition
Key Fact
The more variation that there is in a data set, the larger is its
standard deviation.
Formula
EXAMPLE 3–20 Air Pollution
• The sulfur dioxide content of air pollution in millions of tons of five randomly selected cities is shown. Find
the variance and standard deviation for the data.
11 90 33 49 27
EXAMPLE 3–20 Air Pollution
• The sulfur dioxide content of air pollution in millions of tons of five randomly selected cities is shown. Find
the variance and standard deviation for the data.
11 90 33 49 27
European Auto
Sales
•
Variance and Standard Deviation for Grouped
Data
• Find the variance and the standard deviation for the frequency distribution of the data representing the number
of miles that 20 runners ran during one week.
•
Variance and Standard Deviation for Grouped
Data
• Find the variance and the standard deviation for the frequency distribution of the data representing the number
of miles that 20 runners ran during one week.
•
steps for finding the variance and standard
deviation for grouped data
Uses of the Variance and Standard Deviation
1. To determine the spread of the data: If the variance or standard deviation is large, the data are
more
dispersed. This information is useful in comparing two (or more) data sets to determine which is more
(most) variable.
2. To determine the consistency of a variable: If the variance or standard deviation is large, the data
are less consistent. For example, in the manufacture of fittings, such as nuts and bolts, the variation in
the diameters must be small, or the parts will not fit together.
3. To determine the shape of the distribution: The variance and standard deviations are used to tell
the number of data values that fall within a specified interval in a distribution. For example,
Chebyshev’s theorem shows that, for any distribution, at least 75% of the data values will fall
within 2 standard deviations of the mean.
Three-Standard-Deviations Rule
Almost all the observations in any data set lie within three
standard deviations to either side of the mean.