QUANTITATIVE METHODS PRACTICE QUESTIONS PART 1 - MEASURES OF CENTRAL

TENDENCY AND DISPERSION

QUESTION ONE:

Five years ago, the Government of Uganda introduced a poverty eradication project in Kamonkoli
District with the intention of increasing household income of the locals. On realizing that you have
just completed a course in quantitative methods at UMI, the manager of the project would like
you to establish whether the project has achieved the intended objective. The following data on
monthly incomes per household in thousands of UGX was collected from 60 families in Kamonkoli
District.

22 41 73 31 84 37 24 66 51 60
57 50 62 24 45 48 27 49 63 62
43 54 65 50 39 70 67 57 92 74
29 56 91 29 51 63 39 70 86 57
24 72 80 68 76 69 48 48 49 64
69 26 34 71 60 74 52 45 58 82

Required:
i) Starting with class 20-29 and using class intervals of equal width, construct a frequency
distribution table for the data above.
ii) Using the data in the table above, determine the mean, median, mode and standard
deviation of the household income. Which of the calculated averages is most
appropriate and why?

QUESTION TWO:

The management of Kyakabi Company Ltd has in the recent past observed a decline in the
morale of its operational workers. The Human Resource Manager of the Company believes that
this could be as a result of poor pay. Before management formulates on a policy on remuneration,
you have been requested as their consultant to establish baseline statistics on which they will base
their decision. The following data is the monthly pay of 60 operational workers in the organization
in US Dollars.
12 101 73 31 84 37 14 66 51 60
57 5 62 24 45 48 27 49 92 62
43 114 65 50 39 90 116 57 109 74
19 86 91 19 51 63 39 70 86 57
24 72 8 68 76 69 48 89 49 53
29 16 34 107 60 74 52 45 58 82
Required:
i) Construct a frequency distribution table for the above data starting with class 10-14
ii) Using the data in the table above, determine the following: the mean, median and
modal pay. Which of the above averages is the most suited and why?