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Department of Economics
BSTA100- Chapter 2
Outline
2-1 Organizing Data
⚫ Grouped Frequency Distributions
- Creating frequency distributions
- Cumulative frequencies and midpoints
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Grouped Frequency Distributions
(Quantitative Data)
⚫ When the range of the data is large, the data must be grouped into classes
that are more than one unit in width, in what is called a grouped frequency
distribution.
⚫ The lower class limit represents the smallest data value that can be included
in the class.
⚫ The upper class limit represents the largest data value that can be included
in the class.
⚫ The class width or interval is found by subtracting the lower (or upper) class
limit of one class from the lower (or upper) class limit of the next.
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Grouped Frequency Distributions
(Quantitative Data)
Characteristics of grouped frequency distributions:
⚫ Number of classes: There should be between 5 and 20 classes.
(enough classes to present a clear description of the collected data).
⚫ The classes must be mutually exclusive (data cannot be placed into
two classes at the same time)
⚫ The classes must be continuous. Even if there are no values in a
class, the class must be included in the frequency distribution. The
only exception occurs when the class with a zero frequency is the first
or last class (can be omitted without affecting the distribution).
⚫ The classes must be exhaustive. There should be enough classes to
accommodate all the data.
⚫ The classes must be equal in width. This avoids a distorted view of
the data.
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Example
⚫ The data represent the record high temperatures in degrees Fahrenheit (℉)
for each of the 50 states. Construct a frequency distribution using 7 classes.
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Example (continued)
Step 2: Tally the data.
Step 3: Find the numerical frequencies from the tallies.
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Grouped Frequency Distributions-
Summary
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For practice solve worksheet 2
problems 8 and 9
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