Quantitative Methods

MM ZG515 / QM ZG515
L4: Numerical Descriptive Measures
BITS Pilani
Work Integrated Learning
Programmes Division
Srinivas Kota
Mean of Grouped data
Find the arithmetic mean for the following frequency distribution
Class 0-1 1-2 2-3 3-4 4-5 5-6
Frequency (fi) 1 4 8 7 3 2
Class Midpoints (xi) 0.5 1.5 2.5 3.5 4.5 5.5
f*x 0.5 6 20 24.5 13.5 11

8 Quantitative Methods MMZG515 / QMZG515 BITS Pilani, WILPD

Median of Grouped data
Find the median for the following frequency distribution
Class: 0-1 1-2 2-3 3-4 4-5 5-6
Frequency: 1 4 8 7 3 2

L ‐Lower limit of the median class

n‐total no. of observations
m‐cumulative freq. preceding the median class
f‐freq. of the median class
c‐class interval of the median class
9 Quantitative Methods MMZG515 / QMZG515 BITS Pilani, WILPD
Mode of Grouped data
Find the median for the following frequency distribution
Class: 0-1 1-2 2-3 3-4 4-5 5-6
Frequency: 1 4 8 7 3 2

L‐lower limit of the modal class

f1‐freq. of the modal class
f0‐freq. preceding the modal class
f‐freq. succeeding the modal class
c‐class interval of the modal class
d1 = f1 ‐ f0
d2 = f1 ‐ f2
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Quartiles
Sorted data
Median ‐ divided into 2 equal parts by 1 value
Quartile ‐ divided into 4 equal parts by 3 values

Quartiles ‐ Q1, Q2 and Q3

Q1 Q2 Q3

same as 
median

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Quartiles
First sort the data from smallest to the largest

Q1 = (n+1)/4th ranked value

Q3 = 3(n+1)/4th ranked value

Rule 1: if the result is whole no. Q = the result

Rule 2: if the result is fractional half, Q = avg. of corresponding

ranked values

Rule 3: if the result is neither whole nor fractional half, round it

off to its nearest integer and Q = that ranked value

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 Quartiles: Example

X -2 -2 -1 0 1 5 Y -2 -2 -1 0 1 5 5

Mean 1/6 6/7

Median -0.5 = (-1+0)/2 0
Mode -2 -2, 5

Quartiles
Q3 (75%) 1 5
Q2 (50%) -0.5 0
Q1 (25%) -2 -2

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Quartiles: Example

Time to get ready (in min) for work

Ranks 1 2 3 4 5 6 7 8 9 10

Ranked 
29 31 35 39 39 40 43 44 44 52
values (min)

n = 10
Q1 = (10+1)/4 = 2.75 ranked value
Rule 3 => Q1 = 3rd ranked value = 35 min
=> 25% of the days, time to get ready is <= 35 min

Q3 = 3x(10+1)/4 = 8.25 ranked value

Rule 3 => Q3 = 8rd ranked value = 44 min
=> 25% of the days, time to get ready is >= 44 min
14 Quantitative Methods MMZG515 / QMZG515 BITS Pilani, WILPD
Range & Interquartile
Range
The Range: Maximum Value – Minimum Value
Ex: data set: 37.3, 39.2, 44.2, 44.5, 53.8, 56.6, 59.3, 62.4, 66.5
Range = 66.5 ‐ 37.3 = 29.2
Total spread in data. Simple but ignores data distribution. Extreme values in
data will give misleading range

The Interquartile Range: Q3 – Q1

Ex: data set: 29, 31, 35, 39, 39, 40, 43, 44, 44, 52
Q1 = 35 and Q3 = 44
Interquartile range = Q3‐ Q1= 44 ‐ 35 = 9
Interquartile range does not consider values below Q1 or above Q3, it is not
effected by the extreme values.

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Mean absolute Deviation
Mean absolute deviation (MAD) is the average based on the
absolute values of deviations from the A.M.

= A.M. and |x| = absolute value of x.

Unlike Range, MAD is based on all observations. Hence reflects

dispersion of every item

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Variance and Standard
Deviation
• Range and Interquartile range do not measure how the values 
cluster between the extremes

• The variance is a measure of variability that includes all

the available information

∑ ∑
𝜎 &𝑠

• The Standard Deviation: Square Root of the Variance

Ex: Dataset: 240, 260, 350, 350, 420, 510, 530

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 Example

X X-Mean (X-mean)2 X -2 -2 -1 0 1 5

-2 Min

-2 Q1

-1 Q2

0 Q3

1 Max

5 Range

Sum IQR

Mean Var

Std. Deviation

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 Box Plot, Five Number
Summary & Outliers
X -2 -2 -1 0 1 5

Min

Q1

Q2

Q3

Max
-2
Range
Q2-Q1 Q3-Q2

IQR

Var

Std. Deviation

An outlier is any observation above the Upper Limit or below the Lower Limit

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 Example: Box Plot, Five-
Number Summary & Outliers
158 126 128 122 122
158 128 124 123 122
158 129 126 122 122
157 129 130 122 121 Five Number Summary
147 129 131 123 122
148 131 128 122 122 Min
160 129 122 123 122
160 133 125 122 122 Q1
163 135 127 125 122
160 128 124 122 122 Q2
157 126 125 122 120
157 125 124 124 123 Q3
159 129 123 120 123
158 125 125 122 122 Max
155 123 123 120 125
165 125 125 121 122
172 124 121 122 123
162 125 124 121 123 IQR
159 131 124 122 122
161 130 124 122 124 1.5*IQR
158 129 127 123 121
128 124 127 123 121 Upper Limit =
133 125 127 122 122 Q3+1.5IQR
129 125 125 119 124
132 125 124 124 123 Lower Limit =
124 121 121 121 122 Q1-1.5IQR
123 120 121 122 123
124
20 Quantitative Methods MMZG515 / QMZG515 BITS Pilani, WILPD
Coefficient of Variation
• Coefficient of variation is a In a sample of 200 packages,
relative measure of variation, mean weight=26 pounds
expressed as percentage std. dev.=3.9 pounds
𝑺 mean volume=8.8 cu. Ft.
𝑪𝑽 𝟏𝟎𝟎% std. dev.=2.2 cu. Ft.
𝑿
It is useful in comparingFor weight, CVw
= 3.9/26*100
• 2 or more data sets of
= 15%
different units
• Data sets that are in same For volume CVv
units but have different = 2.2/8.8*100
averages = 25%
Volume is more variant than weight
21 Quantitative Methods MMZG515 / QMZG515 BITS Pilani, WILPD
Comparing different looking
Values
• You have a job offer of Rs.8.2 lakh in Hyderabad and
another of Rs8.6 lakh in Bangalore. The mean and
variance for similar jobs in Hyderabad were Rs.7 lakh
and Rs.9 lakh, while for Bangalore, these were Rs.7.4
lakh and Rs.12.25 lakh. Which is a better job offer?

• The Feb “high” temperature averaged 30oC with

variance 100oC, while in May these were 40oC and
64oC. When is it more unusual to have a high of 35oC?

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Standard Deviation as a
Distance Measure
• How many standard deviations is the data point
from the mean

• The standardized value, z, is called the z-score

• z-score is the statistical distance from the

mean.

23 Quantitative Methods MMZG515 / QMZG515 BITS Pilani, WILPD

Standard Deviation:
Example1
• You have a job offer of Rs.8.2 lakh in Hyderabad and
another of Rs8.6 lakh in Bangalore. The mean and
variance for similar jobs in Hyderabad were Rs.7 lakh
and Rs.9 lakh, while for Bangalore, these were Rs.7.4
lakh and Rs.12.25 lakh. Which is a better job offer?

Z-Scores:
Zhyd = (8.2-7)/3 = 0.4 &
Zbgl =(8.6-7.4)/3.5 = 0.3429
Hyderabad: The offer is 0.4 σ’s from the mean
Bangalore: The offer is 0.34 σ’s from the mean
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Standard Deviation:
Example2
• The Feb “high” temperature averaged 30oC with
variance 100oC, while in May these were 40oC and
64oC. When is it more unusual to have a high of 35oC?

Z Scores
Zfeb = (35-30)/10 = 0.5 &
Zjun = (35-40)/8 = -5/8 = -0.625

February: 35oC is 0.5 σ’s from the mean

May: 35oC is 0.625 σ’s from the mean (Ignoring the negative sign)
25 Quantitative Methods MMZG515 / QMZG515 BITS Pilani, WILPD