Measures of Central Location

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Sometimes we want to attach more significance and weights to some
observations, weights are used to emphasized them. If we denote the
weights of each of the n observations by w1,w2,w3,….,wn, respectively,
a sample mean which provides a relative importance to the individual
observations is the Weighted mean is computed using the formula:

 
2.The student’s final grades in Math17, Philo 1, English 1, and Bio 1 are
2.0, 2.25, 1.75, and 2.0, respectively. If the respective credits for these
subjects are 6, 3, 3, and 4, determine the student’s GPA or weighted
average grade.

 
Try This:
Consider the fact that 10,000 books were each sold at P40; 8,000 books each at
P45;5,000 at P48; 4,000 at P50; and 2,000 at P54. Find the average price.

2. Median – is the middle value of the set of observations arranges in an increasing or

decreasing order of magnitude. It is the middle value when the number of
observations is odd, or the mean of the two middle values when the number of
observations is even, that is, it is the value such that half of the observations fall
above it and half below it.

Properties of the Median

i.It is a positional value, hence not affected by the presence of extreme values.
Ii.It is the appropriate measure for at least an ordinal type of data.
Example 2:
Refer to example 1, (1)
Solution:
First arrange the data in ascending order,
2, 2, 2, 2.5, 3, 4, 4, 5, 5, 8
Since there are 10 observations and it is even, the median is the average of the 5 th
and the 6th items, that is the the mean of 3 and 4 which is equal to 3.5.
Try this:
Find the median of the following set of numbers:
4, 6, 7, 3, 5, 7, 6, 8, 9, 6

3.Mode- is the value or item which occur most number of times, or the value or
item with the greatest frequency.
Properties of the Mode
i.The mode is determine by the frequency and not by the values of the
observations
ii.The mode may be defined with qualitative or quantitative variables.
It is the appropriate measure for a nominal type of data.
Example3:
Refer to (1) 0f example 1.
Solution:
Since 2 has frequency 3, hence 2 is the mode of the distribution.
Try this:
Find the mode of the the following, 4,6,7,3,5,7,6,8,9,and 6.
Measures Of Variability/Dispersion
In the preceding topic we discussed the measures of central tendency or
location as means to describe a given set of data. These measures indicate the
point where the items are centrally located. However, they do not show
whether the terms in the distribution are far from or close to each other. Some
characteristics of a set of data may not be evident from an examination of
averages. For instance, consider a softdrink dispensing machine that should
dispense 8 oz of your selection into a cup.Table 1 shows the data for two of
these machines.
Table 1. Soda Dispensed(ounces)
Machine 1 Machine 2
9.25 8.01
6.41 7.99
10.07 7.95
5.85 8.03
8.15 8.02
X=8.0 X=8.0
The mean data value for each machine is 8oz. However, look at the variation in data values
for machine 1. The quantity of soda dispensed is very inconsistent, in some cases the soda
overflows the cup, in other cases too little soda is dispensed. The machine obviously needs
adjustment. Machine 2, on the other hand, is working just fine. The quantity dispensed is
very consistent, with little variation. This example shows that average values do not reflect
the spread or dispersion of data. To measure the spread or dispersion we need the
measures of variability, these measures describe the extent of “scattering” of individual
items about the average or point of central location.

Types of Measures of Variability

1.Range
The range of a set of data values is the difference between the greatest data value and the
least data value.
Example1:
Find the range of the numbers of ounces dispensed by Machine 1 in Table 1.
Solution:
The greatest number of ounces dispensed is 10.07 and the least is is 5.85. The range of the
numbers of ounces dispensed is 10.07 – 5.85 = 4.22.
 
 
 

x x-
2 2-8 = -6
4 4-8 = -4
7 7-8 = -1
12 12-8 = 4
15 15-8 = 7
Step3. Calculate the square of each deviation in step 2, and find the sum of
these squared deviations.
x x-
2 2-8= -6 36
4 4-8= -4 16
7 7-8= -1 1
12 12-8= 4 16
15 15-8= 7 49