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2020

Completely based on Latest CBSE Syllabus and NCERT Book Edition

Statisticsfor

Class XI
Economics
A Textbook for Economics
Subhash Dey

Shree Radhey Publications


Completely based on CBSE Syllabus and NCERT Book 2020-21

STATISTICS for
ECONOMICS
A Textbook for Economics Class XI

Subhash Dey
B.Com. (Hons.), M.Com. (Delhi School of Economics), M.A. (Economics),
PGDBA (Finance), B.Ed., PGD (Labour and Administrative Laws)

Shree Radhey Publications


C-3/6, Yamuna Vihar, Delhi-110053 (India)
vi

Contents
Chapter 1 Introduction 9–20
Introduction 10
What is Economics? 11
Statistics — Meaning and Scope 12
Functions of Statistics 14
Importance of Statistics in Economics 15
Objective Type Questions 15
Exercises 16
Self Assessment Tests 17

Chapter 2 Collection of Data 21–40


Introduction 22
Sources of Data – Primary and Secondary 23
How Basic Data is Collected? 24
Mode/Methods of Data Collection 27
Census and Sample Surveys 28
Methods/Types of Sampling 31
Some Important Sources of Secondary Data: Census of India and NSSO 31
Objective Type Questions 33
Exercises 36
Self Assessment Tests 37

Chapter 3 Organisation of Data 41–74


Introduction 42
Classification of Data 43
Variables: Meaning and Types 45
Frequency Distribution 46
Frequency Curve 48
How to Prepare a Frequency Distribution? 49
Loss of Information 53
Frequency distribution with unequal classes 53
Frequency Array 55
Bivariate (or Two-way) Frequency Distribution 56
Illustrations 57
Practice Questions 61
Objective Type Questions 63
Exercises 67
Brain Teaser 68
Self Assessment Tests 70
vii

Chapter 4 Presentation of Data 75–116


Introduction 76
Tabular Presentation of Data 76
Tabulation of Data and Parts of a Table (with Illustrations and Do it yourself exercises) 78
Diagrammatic Presentation of Data (with Illustrations and Do it yourself exercises) 81
Practice Questions 102
Objective Type Questions 104
Exercises 109
Brain Teaser 109
Self Assessment Tests 111

Chapter 5 Measures of Central Tendency 117–202


Introduction 118
Arithmetic Mean (with Examples and Do it yourself exercises) 119
Illustrations on Arithmetic Mean 135
Practice Questions on Arithmetic Mean 141
Median (with Examples and Do it yourself exercises) 143
Illustrations on Median 148
Practice Questions on Median 154
Mode (with Examples and Do it yourself exercises) 155
Illustrations on Mode 160
Practice Questions on Mode 166
Relative Position of Arithmetic Mean, Median and Mode 167
Miscellaneous Illustrations on Mean, Median and Mode 171
Practice Questions on Mean, Median and Mode 176
Objective Type Questions 181
Exercises 192
Brain Teaser 193
Self Assessment Tests 196

Chapter 6 Measures of Dispersion 203–264


Introduction 204
Range and Coefficient of Range (with Examples and Do it yourself exercises) 206
Quartile Deviation and Coefficient of Quartile Deviation (with Examples and Do it yourself exercises) 208
Mean Deviation and Coefficient of Mean Deviation (with Examples and Do it yourself exercises) 214
Standard Deviation and Coefficient of Variation (with Examples and Do it yourself exercises) 220
Illustrations 234
Practice Questions 242
Objective Type Questions 247
Exercises 255
Brain Teaser 255
Self Assessment Tests 260
viii

Chapter 7 Correlation 265–318


Introduction 266
Correlation – Meaning, Types and Techniques 266
Scatter Diagram 268
Karl Pearson’s Coefficient of Correlation (with Examples and Do it yourself exercises) 270
Illustrations – Karl Pearson’s Coefficient of Correlation 280
Practice Questions – Karl Pearson’s Coefficient of Correlation 287
Spearman’s Rank Correlation (with Examples and Do it yourself exercises) 289
Illustrations – Spearman’s Rank Correlation 294
Practice Questions – Spearman’s Rank Correlation 298
Objective Type Questions 301
Exercises 309
Brain Teaser 310
Self Assessment Tests 313

Chapter 8 Introduction to Index Numbers 319–362


Introduction 320
Index Number – Meaning 320
Construction of Index Numbers (with Examples and Do it yourself exercises) 321
Index Numbers – Types (with Examples and Do it yourself exercises) 327
Inflation and Index Numbers 333
Index Numbers – Theory 334
Illustrations 339
Practice Questions 345
Objective Type Questions 347
Exercises 354
Brain Teaser 355
Self Assessment Tests 357

Preparing for Examination and Sample Question Papers 363–420


A few hints on how to study effectively 364
Important Tips for Attempting Economics XI Examination 364–366
List of Formulae used in Statistics for Economics XI 367–370
CBSE Suggested Question Paper Design 2020-21 371
Model Sample Question Paper with Solutions through Author's Pen 372–380
20 Sample Question Papers based on New Question Paper Design of CBSE 381–420

Project Work 421–430


CBSE Guidelines for Project Work in Economics (Class XI) 421–423
Sample Project — Setting up a factory to produce toothpaste 424–430

Glossary of Statistical Terms 431–432


Presentation of Data

Statistics for Economics XI – by Subhash Dey


CBSE Syllabus 2020-21
Tabular Presentation and Diagrammatic Presentation of Data: (i) Geometric forms
(bar diagrams and pie diagrams), (ii) Frequency diagrams (histogram, polygon and
ogive) and (iii) Arithmetic line graphs (time series graph).
4
Chapter
Learning Objectives
Studying this chapter should enable you to:
 present data using tables
 represent data using appropriate diagrams.

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Introduction
You have already learnt in previous chapters how data are collected and organised. As data are generally
voluminous, they need to be put in a compact and presentable form. This chapter deals with presentation of
data precisely so that the voluminous data collected could be made usable readily and are easily comprehended.
Data (even voluminous data) speak meaningfully through presentation.
There are two major forms of presentation of data:
• Tabular presentation
• Diagrammatic presentation

4.1 Tabular Presentation of Data


In a tabular presentation, data are presented in rows (read horizontally) and columns (read vertically).
For example, see Table 4.1 tabulating information about literacy rates.
TABLE 4.1 Literacy in India by sex and location (per cent)
Sex Location Total
Rural Urban
Male 79 90 82
Female 59 80 65
Total 68 84 74
Source: Census of India 2011. (Literacy rates relate to population aged 7 years and above)

The Table 4.1 has three rows (for male, female and total) and three columns (for rural, urban and total). It
is called a 3 × 3 Table giving 9 items of information in 9 boxes called the “cells” of the Table. Each cell gives
information that relates an attribute of gender (“male”, “female” or total) with a number (literacy percentages
of rural people, urban people and total).
Chapter 4 – Presentation of Data

Advantages of Tabular Presentation of Data


1. Simple and Brief Presentation 2. Easy Analysis 3. Facilitates Comparison
4. Economical 5. Highlights Characteristics of Data

 The most important advantage of tabulation is that it organises data for further statistical treatment
and decision-making.
 For large quantity of data, tabular presentation helps in accommodating any volume of data for one
or more variables.

Classification used in tabulation


Classification used in tabulation is of four kinds: (i) Qualitative (ii) Quantitative (iii) Temporal and (iv) Spatial.
1. Qualitative classification
When classification is done according to attributes, such as social status, physical status, nationality, etc., it is
called qualitative classification. For example, in Table 4.1 the attributes for classification are sex and location
which are qualitative in nature.
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2. Quantitative classification
In quantitative classification, the data are classified on the basis of characteristics which are quantitative in nature.
In other words, these characteristics can be measured quantitatively. For example, age, height, production, income,
etc. are quantitative characteristics. Classes are formed by assigning class limits for the values of the characteristic
under consideration. An example of quantitative classification is given in Table 4.2.
TABLE 4.2: Distribution of 542 respondents by their age in an election study in Bihar
Age group (years) No. of respondents
20–30 3
30–40 61
40–50 132
50–60 153
60–70 140
70–80 51
80–90 2
All 542
Here, classifying characteristic is ‘age’ in years and is quantifiable.

Extra Shots

Difference between Quantitative and Qualitative Data


Quantitative Data Qualitative Data

Statistics for Economics XI – by Subhash Dey


• Can be expressed numerically • Can be ranked only
• Further calculation is possible • Further calculation is not possible
• E.g. Income , Expenditure etc. • E.g. Intelligence, Beauty etc.

3. Temporal classification
In this classification ‘time’ becomes the classifying variable and data are categorised according to time. Time
may be in hours, days, weeks, months, years, etc. For example, see Table 4.3.
TABLE 4.3: Yearly sales of a firm from 2013 to 2018
Years Sales (` in lakhs)
2013 79.2
2014 81.3
2015 82.4
2016 80.5
2017 100.2
2018 91.2
In this table the classifying characteristic is ‘sales in a year’ and takes values in the scale of time.

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4. Spatial classification
When classification is done on the basis of place, it is called spatial classification. The place may be a village/
town, block, district, state, country, etc. Table 4.4 is an example of spatial classification.
TABLE 4.4 Export from India to rest of the world in 2013-14 as share of total export (per cent)
Destination Export share
USA 12.5
Germany 2.4
Other EU 10.9
UK 3.1
Japan 2.2
Russia 0.7
China 4.7
West Asia-Gulf Cooperative Council 15.3
Other Asia 29.4
Others 18.8
All 100.0

(Total Exports: US $314.40 billion)

Tabulation of Data and Parts of a Table


To construct a table, it is important to learn first what are the parts of a good statistical table. When put
together systematically these parts form a table.
The most simple way of conceptualising a table is to present the data in rows and columns alongwith some
explanatory notes.
Tabulation can be done using one-way, two-way or three-way classification depending upon the number of
Chapter 4 – Presentation of Data

characteristics involved.
A good table should essentially have the following:
1. Table Number
Table number is assigned to a table for identification purpose. It is given at the top or at the beginning
of the title of the table.
If more than one table is presented, it is the table number that distinguishes one table from another.
Generally, table numbers are whole numbers in ascending order if there are many tables in a book. Subscripted
numbers, like 1.2, 3.1, etc., are also used for identifying the table according to its location. For example, Table
4.5 should be read as the fifth table of the fourth chapter, and so on.
2. Title
The title of a table narrates about the contents of the table. It has to be clear, brief and carefully worded
so that the interpretations made from the table are clear and free from ambiguity.
It finds place at the head of the table succeeding the table number or just below it (See Table 4.5).

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Table Number Title

TABLE 4.5 Population of India according to workers and non-workers by gender and location, 2001
(Crore)
Column Headings/Captions
Units

Workers
Location Gender Non-worker Total
Main Marginal Total
Male 17 3 20 18 38
Row Headings/stubs

Body of the table


Rural Female 6 5 11 25 36
Total 23 8 31 43 74
Male 7 1 8 7 15
Urban Female 1 0 1 12 13
Total 8 1 9 19 28
Male 24 4 28 25 53
All Female 7 5 12 37 49
Total 31 9 40 62 102
Source: Census of India 2001
Note: Figures are rounded to nearest crore
Source

Note

Statistics for Economics XI – by Subhash Dey


3. Captions or Column Headings
At the top of each column in a table, a column designation is given to explain figures of the column. This
is called caption or column heading (See Table 4.5).
4. Stubs or Row Headings
Like a caption or column heading, each row of the table has to be given a heading. The designations of the
rows are also called stubs or stub items, and the complete left column is known as stub column.
A brief description of the row headings may also be given at the left hand top in the table. (See Table 4.5).
5. Body of the Table
Body of a table is the main part and it contains the actual data.
Location of any one figure/data in the table is fixed and determined by the row and column of the table.
For example, data in the second row and fourth column indicate that 25 crore females in rural India were
non-workers in 2001 (See Table 4.5).
6. Unit of Measurement
The unit of measurement of the figures in the table (actual data) should always be stated along with the title.
If different units are there for rows or columns of the table, these units must be stated along with ‘stubs’ or ‘captions’.
If figures are large, they should be rounded up and the method of rounding should be indicated. (See Table 4.5).

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7. Source: It is a brief statement or phrase indicating the source of data presented in the table. If more than
one source is there, all the sources are to be written in the source. Source is generally written at the bottom
of the table. (See Table 4.5).

8. Note: Note is the last part of the table. It explains the specific feature of the data content of the table
which is not self-explanatory and has not been explained earlier.

Ilustration 1

Of the 1,125 students studying in a school during 2019-20, 720 are Hindus, 628 are boys and 440 are science students.
Number of Hindu boys is 392, that of boys studying science is 205 and that of Hindu students studying science is
262. Finally, the number of science students among the Hindu boys is 148. Tabulate the above data. (4 marks)
Solution: School students by religion and faculty 2019-20
Faculty Boys Girls Total
Hindus Non- Total Hindus Non- Total Hindus Non- Total
Hindus Hindus Hindus
Science 148 57 205 114 121 235 262 178 440
Arts 244 179 423 214 48 262 458 227 685
Total 392 236 628 328 169 497 720 405 1125

Do it yourself 1
The city of Timbaktoo was divided into three areas : the administrative district, other urban districts and rural
districts. A survey of housing conditions was carried out and the following information was gathered: There were
6,77,100 buildings of which 1,76,100 were in rural districts. Of the buildings in other urban districts 4,06,400
were inhabitant and 4,500 were under construction. In the administrative district 4,000 buildings were inhabitant
and 500 were under construction of the total of 61,600 the total buildings in the city that are under construction
are 6,200 and those uninhabited are 44,900.
Tabulate that above information so as to be the maximum possible information. How many buildings are under
construction in rural areas? (4 marks)
Chapter 4 – Presentation of Data

Ilustration 2

In a sample study about the tea-drinking habit of two cities A and B, the following data were observed:
City A City B
70% persons were males 55% persons were males
80% were tea-drinkers 35% were tea-drinkers
62% were male tea-drinkers 25% were male tea-drinkers
Tabulate the above data. (4 marks)
Solution: Table showing Percentage of Tea-drinkers in Cities A and B
Attributes City A City B
Males Females Total Males Females Total
Tea-drinkers 62 18 80 25 10 35
Non-tea drinkers 8 12 20 30 35 65
Total 70 30 100 55 45 100

80
Do it yourself 2
ensus of India 2001 reported that Indian population had risen to 102 crore of which only 49 crore were females
C
against 53 crore males. 74 crore people resided in rural India and only 28 crore lived in towns or cities. While
there were 62 crore non-workers population against 40 crore workers in the entire country. Urban population had
an even higher share of non-worker (19 crore) against the workers (9 crore) as compared to the rural population
where there were 31 crore workers out of 74 crore population.
Represent the above information in a tabular form. (4 marks)

4.2 Diagrammatic Presentation of Data


This method of presenting data provides the quicker understanding of the actual situation to be explained
by data in comparison to tabular presentations.
Diagrammatic presentation of data translates quite effectively the highly abstract ideas contained in
numbers into more concrete and easily comprehensible form.
Diagrams may be less accurate but are much more effective than tables in presenting the data.

Diagrammatic Presentation of Data

Geometric Diagram Arithmetic Line Diagram Frequency Diagram

Statistics for Economics XI – by Subhash Dey


Bar Diagram Pie Diagram Frequency
Histogram Ogive
Polygon
Simple Bar Diagram

Multiple Bar Diagram

Component Bar Diagram

Bar Diagram

Simple Bar Diagram


 Bar diagram comprises a group of equi-spaced and equi-width rectangular bars for each class or category of data.
 Height or length of the bar reads the magnitude of data.
 The lower end of the bar touches the base line such that the height of a bar starts from the zero unit.
 Bars of a bar diagram can be visually compared by their relative height and accordingly data are
comprehended quickly.
 Discrete variables like family size, spots on a dice, grades in an examination, etc. and attributes such
as gender, religion, caste, country, etc. can be represented by bar diagrams.
 Bar diagrams are suitable both for frequency type and non-frequency type variables and attributes.
However, Bar diagrams are more convenient for non-frequency data such as income-expenditure profile,
export/imports over the years, etc.
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Solution:

Multiple bar diagram showing stream-wise distribution of students

Do it yourself 3
Represent the following data with the help of multiple bar diagram: (4 marks)

Year 2017 2018 2019 2020


Exports ( in ` crores) 73 80 85 80
Imports ( in ` crores) 70 72 75 85

Component Bar Diagram (or Sub-Divided Bar Diagram)


Chapter 4 – Presentation of Data

A component bar diagram shows the bar and its sub-divisions into two or more components.
Component bar diagrams (also called sub-divided bar diagrams or sub-diagrams) are very useful in comparing the
sizes of different component parts and also for throwing light on the relationship among these integral parts.
For example, sales proceeds from different products, expenditure pattern in a typical Indian family (components
being food, rent, medicine, education, power, etc.).
To construct a component bar diagram, first of all, a bar is constructed on the X-axis with its height
equivalent to the total value of the bar (for per cent data the bar height is of 100 units) and proportional
heights of the components are worked out using unitary method.

Top Tips
1. Smaller components are given priority in parting the bar.
2. Component bar diagrams are usually shaded or coloured suitably.

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TABLE 4.7: Enrolment by gender at schools (per cent) of children aged 6–14 years in a district of Bihar
Gender Enrolled (per cent) Out of school (per cent)
Boy 91.5 8.5
Girl 58.6 41.4
All 78.0 22.0

8.5
120

100
8.5
41.4 22
80

91.5
60 Out of school (per cent)
Enrolled (per cent)
40 58.6 78

20

0
Boys Girls All

Fig. 4.3: Component Bar Diagram showing enrolment at primary level in a district of Bihar

Statistics for Economics XI – by Subhash Dey


The bar shows the total population of children in the age-group of 6–14 years. The components show the
proportion of those who are enrolled and those who are not. A component bar diagram might also contain
different component bars for boys, girls and the total of children in the given age group range.

Ilustration 4

From the following details of the monthly expenditure of two families A and B, having monthly income of
`30,000 and `40,000 respectively, prepare a component bar diagram: (4 marks)

Items of Expenditure Family A (`) Family B (`)


Food 15,000 18,000
Clothing 6,000 10,000
House Rent 4,000 6,000
Miscellaneous 3,000 4,000
Savings 2,000 2,000

85
Solution:
Y

45,000
40,000 Food
40,000

Monthly expenditure (in `)


Clothing
House rent
35,000
Miscellaneous
30,000 Savings
30,000

25,000

20,000

15,000

10,000

5,000

0 X
Family A Family B
Families

Component bar diagram showing monthly expenditure on different items of two families

Do it yourself 4

The Indian Sugar Mills Association reported that, ‘Sugar production during the first fortnight of December
2018 was about 3,87,000 tonnes, as against 3,78,000 tonnes during the same fortnight last year (2017). The
off-take of sugar from factories during the first fortnight of December 2018 was 2,83,000 tonnes for internal
consumption and 41,000 tonnes for exports as against 1,54,000 tonnes for internal consumption and nil for
exports during the same fortnight last season.’
(i) Present the data in tabular form.
(ii) Suppose you were to present these data in diagrammatic form, which of the diagrams would you use and
why?
(iii) Present these data diagrammatically. (NCERT) (6 marks)

Pie Diagram
Chapter 4 – Presentation of Data

A pie diagram is also a component diagram, but it is a circle whose area is proportionally divided among the
components it represents. It is also called a pie chart. The circle is divided into as many parts as there are
components by drawing straight lines from the centre to the circumference.

Steps in the construction of a pie diagram


Step 1: The value of each component is first expressed as a percentage of the total value of all the components:
Value of the component
¥ 100
Total value of all the components

Step 2: Conversion of percentages of components into angular components of the circle:


A circle in a pie chart, irrespective of its value of radius, is thought of having 100 equal parts of 3.6° (360°/100)
each. To find out the angle, which the component shall subtend at the centre of the circle, each percentage
figure of every component is multiplied by 3.6°.
Angular component of the circle = Percentage figure of the component × 3.6°

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TABLE 4.8: Distribution of Indian population (2011) by their working status (crores)
Status Population Per cent Angular Component
12
Marginal Worker 12 ¥ 100 = 9.9 9.9 × 3.6° = 36°
121
36
Main Worker 36 ¥ 100 = 29.8 29.8 × 3.6° = 107°
121

73
Non-worker 73 ¥ 100 = 60.3 60.3 × 3.6° = 217°
121
All 121 100 360°

12 crore

Marginal Worker
73 crore Main Worker
36 crore
Non-Worker
Marginal Worker
Main Worker
Non-Worker

Fig. 4.4 Pie diagram for different categories of Indian population


according to working status (in 2011).

Statistics for Economics XI – by Subhash Dey


Data represented by a component bar diagram (or sub-divided bar diagram) can also be represented equally well by a pie chart, the
only requirement being that absolute values of the components have to be converted into percentages before they can be used for
a pie diagram. Kindly refer to Illustrations 4 and 5.

Ilustration 5

From the following details of the monthly expenditure of two families A and B, having monthly income of
`30,000 and `40,000 respectively, prepare pie diagrams showing expenditure of the two families on different
items. (6 marks)
Items of Expenditure Family A (`) Family B (`)
Food 15,000 18,000
Clothing 6,000 10,000
House Rent 4,000 6,000
Miscellaneous 3,000 4,000
Savings 2,000 2,000

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Solution: Expenditure of two families on different items
Family A Family B (`)
Items Expenditure Angular Expenditure Angular
Per cent Per cent
(`) component (`) component
Food 15,000 50 50 × 3.6 = 180° 18,000 45 45 × 3.6 = 162°
Clothing 6,000 20 20 × 3.6 = 72° 10,000 25 25 × 3.6 = 90°
House Rent 4,000 13.33 13.33 × 3.6 = 48° 6,000 15 15 × 3.6 = 54°
Miscellaneous 3,000 10 10 × 3.6 = 36° 4,000 10 10 × 3.6 = 36°
Savings 2,000 6.67 6.67 × 3.6 = 24° 2,000 5 5 × 3.6 = 18°
Total 30,000 100 360° 40,000 100 360°

Family A Family B

Food
Clothing
House Rent
Miscellaneous
Savings

Pie Diagrams showing expenditure of the two families on different items


Chapter 4 – Presentation of Data

Do it yourself 5
Draw a pie diagram to represent the following data of expenditure of a family X on different items: (4 marks)

Items of Expenditure % of Total Expenditure


Food 50
Clothing 15
Housing 20
Fuel and Lighting 10
Miscellaneous 5

88
Ilustration 6

Prepare Arithmetic line graph of the following data on sales and profits of a company X. (4 marks)
Year 2013 2014 2015 2016 2017 2018
Sales (` lakhs) 25 30 40 35 50 55
Profits (` lakhs) 7 10 15 10 20 25

Solution:
To prepare Arithmetic line graph (Time series graph), we take Year on the X-axis and Sales and Profits (in ` lakhs) on
the Y-axis.

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Sales and Profits (in ` lakhs)

50

40

30 Sales
Sales(`(in
lakhs)
` lakhs)
Profits(`(in
Profits ` lakhs)
lakhs)
20

10

0
2013 2014 2015 2016 2017 2018
1 2 3 4 5 6
Years

Arithmetic line graph on sales and profits of a company X


Chapter 4 – Presentation of Data

Do it yourself 6
The production of wheat and rice of a region are given below:

Production in metric tones


Year
Wheat Rice
2016 12 25
2017 15 30
2018 18 32
2019 19 36

Represent the above data using arithmetic line graph. (4 marks)

90
Histogram
A histogram is a two dimensional diagram.
It is a set of rectangles with base as the intervals between class boundaries (along X-axis) and with areas
proportional to the class frequency.
A histogram is never drawn for a discrete variable. It is drawn for continuous variables only.

Case I: If the class intervals are of equal width


When intervals are equal, that is, when all rectangles have the same base, area (= base × height) can conveniently
be represented by the frequency of any interval for purposes of comparison. The area of the rectangles are
proportional to their respective frequencies.
Since histograms are rectangles, a line parallel to the base line and of the same magnitude is to be drawn at
a vertical distance equal to frequency of the class interval.
Since, for continuous variables, the lower class boundary of a class interval fuses with the upper class boundary of
the previous interval, the rectangles are all adjacent and there is no open space between two consecutive rectangles.

TABLE 4.9: Marks obtained (out of 60) in Statistics by 30 students of class XI


Marks No. of Students
0-10 3
10-20 4
20-30 8
30-40 10
40-50 3
50-60 2

Statistics for Economics XI – by Subhash Dey


10
Number of students

0
10 20 30 40 50 60
Marks

Histogram for marks obtained in Statistics by 30 students of class XI

91
Top Tips
1. If the classes are not continuous they are first converted into continuous classes.
2. Histogram also gives value of mode of the frequency distribution graphically.

Ilustration 7

From the following data draw a Histogram and find the value of mode graphically. (6 marks)
Distribution of daily wage earners in a locality of a town
Daily earning (`) No. of wage earners (f )
45–49 2
50–54 3
55–59 5
60–64 3
65–69 6
70–74 7
75-79 12
80–84 13
85–89 9
90–94 7
95–99 6
100–104 4
105–109 2
110–114 3
115–119 3
Solution: Since the classes are not continuous they are first converted into continuous classes.
50– 49 = 1. So 1 ÷ 2 = 0.5. Subtract 0.5 from the lower limit of each class and add 0.5 to the upper limit of each class.
Distribution of daily wage earners in a locality of a town
Chapter 4 – Presentation of Data

Daily earning (`) No. of wage earners (f )


44.5–49.5 2
49.5–54.5 3
54.5–59.5 5
59.5–64.5 3
64.5–69.5 6
69.5–74.5 7
74.5-79.5 12
79.5–84.5 13
84.5–89.5 9
89.5–94.5 7
94.5–99.5 6
99.5–104.5 4
104.5–109.5 2
109.5–114.5 3
114.5–119.5 3

92
14

12
No. of wage earners (frequency)

10

0 44.5 49.5 54.5 59.5 64.5 69.5 74.5 79.5 84.5 89.5 94.5 99.5 104.5 109.5 114.5 119.5
Mode (=80.5)
Daily wage (in `)
Continuous Classes (after conversion)

Histogram for the distribution of 85 daily wage earners in a locality of a town.


Modal Daily Wage = `80.50

Top Tip
Graphical Method of Obtaining Mode: Graphically, mode is obtained by drawing a histogram. The rectangle with the
greatest height will be the modal class. We join the top right point of the rectangle of the modal class with the top right

Statistics for Economics XI – by Subhash Dey


point of the rectangle of the preceding class, and the top left point of the rectangle of the modal class with the top left
point of the rectangle of the succeeding class. From the point of intersection of these lines, we draw a perpendicular on
the x-axis intersecting the x-axis at a point, which is the value of the mode of the data.

Do it yourself 7
Draw a histogram from the following data and find the mode graphically. (4 marks)
Marks 1-10 11-20 21-30 31-40 41-50
No. of Students 10 15 20 11 4

Case II: If the class intervals are of unequal/varying width


In some type of data, it is convenient to use varying width of class intervals. For example, when tabulating
deaths by age at death, it would be very meaningful and useful to have very short age intervals (0, 1, 2, ...,
yrs/ 0, 7, 28, ..., days) at the beginning when death rates are very high compared to deaths at most other
higher age segments of the population.
When bases vary in their width, the heights of rectangles are to be adjusted to yield comparable measurements.
The answer in such a situation is frequency density (class frequency divided by width of the class interval)
instead of absolute frequency.
Class frequency
Frequency Density =
Width of the class interval
93
Ilustration 8

From the following data draw a Histogram. (4 marks)


Marks obtained (out of 100) in Economics by 50 students of class XI
Marks No. of Students
0-10 5
10-20 4
20-30 3
30-50 10
50-80 18
80-90 6
90-100 4
Solution: The width of the class interval 30-50 is twice the usual width of other class intervals. Its frequency is 10.
So frequency density = 10 ÷ 2 = 5. Similarly, the width of the class interval 50-80 is thrice the usual width of other
class intervals. Its frequency is 18. So frequency density = 18 ÷ 3 = 6.
Marks obtained (out of 100) in Economics by 50 students of class XI
Marks No. of Students (Frequency) Frequency Density
0-10 5 5
10-20 4 4
20-30 3 3
30-50 10 10 ÷ 2 = 5
50-80 18 18 ÷ 3 = 6
80-90 6 6
90-100 4 4
Chapter 4 – Presentation of Data

Histogram for the marks obtained (out of 100) in Economics by 50 students of class XI

94
Do it yourself 8
Draw a histogram from the following data. (4 marks)
Age (in years) 0-10 10-20 20-30 30-40 40-50 50-70 70-100
No. of persons 5 15 18 22 35 30 15


Differences between a Histogram and a Bar Diagram
A histogram looks similar to a bar diagram. But there are more differences than similarities between the two as explained
below:
1. A Bar Diagram is one dimensional. It is the height and not the width or the area of the bar that really matters.
Although the bars have the same width, the width of a bar is unimportant for the purpose of comparison.
On the other hand, a Histogram is two-dimensional, i.e., the width of the class and class frequency both are taken
into consideration. The width in a histogram is as important as its height.
2. In Histogram no space is left between two rectangles, but in a Bar Diagram some space must be left between
consecutive bars (except in multiple bar diagram or component bar diagram).
3. We can have a Bar Diagram both for discrete and continuous variables, but Histogram is drawn only for a continuous
variable.

Frequency Polygon
A frequency polygon is a plane bounded by straight lines, usually four or more lines.
Frequency polygon is the most common method of presenting grouped frequency distribution.

Statistics for Economics XI – by Subhash Dey


Note
Frequency polygon is an alternative to histogram and is also derived from histogram itself.

Case I: Frequency polygon derived from histogram itself


A frequency polygon can be fitted to a histogram for studying the shape of the curve.
The simplest method of drawing a frequency polygon is to join the midpoints of the topside of the
consecutive rectangles of the histogram.
It leaves us with the two ends away from the base line, denying the calculation of the area under the curve.
The solution is to join the two end-points thus obtained to the base line at the mid-values of the two classes
with zero frequency immediately at each end of the distribution.
Broken lines or dots may join the two ends with the base line.
Now the total area under the curve, like the area in the histogram, represents the total frequency or sample size.

Top Tip
When comparing two or more distributions plotted on the same axes, frequency polygon is likely to be more useful
than histogram since the vertical and horizontal lines of two or more distributions may coincide in a histogram.

95
Ilustration 9

Construct a histogram from the following distribution of total wages obtained by 50 workers in a factory and
prepare a frequency polygon. (6 marks)
Distribution of daily wages obtained by 50 workers in a factory
Daily Wages (Mid-points) No. of Workers
500 5
600 10
700 19
800 11
900 3
1000 2
Solution:
First, we need to convert the mid-points into class-intervals. The difference between two mid-points is 100. Half of
the difference, i.e. 50 will be added and subtracted from each mid-point to get the class-intervals, for example, the
first class interval will be: (500 – 50) to (500 + 50), i.e. 450-550.
Distribution of daily wages obtained by 50 workers in a factory
Daily Wages No. of Workers
450-550 5
550-650 10
650-750 19
750-850 11
850-950 3
950-1050 2
Total 50

20
Chapter 4 – Presentation of Data

18

16
No. of workers (frequency)

14
12

10

0 450 550 650 750 850 950 1050

Daily wages (in `)

96
Do it yourself 9
From the following data draw a Histogram and Frequency polygon. (6 marks)

Daily earning (`) No. of wage earners


45–49 2
50–54 3
55–59 5
60–64 3
65–69 6
70–74 7
75-79 12
80–84 13
85–89 9
90–94 7
95–99 6
100–104 4
105–109 2
110–114 3
115–119 3

Case II: Frequency polygon as an alternative to histogram


Class-marks or class midpoints can be used along the X-axis, the distances between two consecutive class marks

Statistics for Economics XI – by Subhash Dey


being proportional/equal to the width of the class intervals. Plotting of data becomes easier if the class-marks fall
on the heavy lines of the graph paper.
Frequencies are plotted against the mid-points of class intervals.
When all the points have been plotted in the graph, they are carefully joined by a series of short straight lines.
Broken lines join midpoints of two intervals, one in the beginning and the other at the end, with the two
ends of the plotted curve.

Ilustration 10

From the following distribution of marks of students in a school, construct a frequency polygon without
histogram. (6 marks)

Marks No. of Students


10-19 6
20-29 10
30-39 20
40-49 15
50-59 9
60-69 5

97
Solution: The classes are not continuous. However, they need not be converted into continuous classes since mid-
points will remain the same.

Marks Mid-points No. of Students


10-19 14.5 6
20-29 24.5 10
30-39 34.5 20
40-49 44.5 15
50-59 54.5 9
60-69 64.5 5

20
18

16
No. of workers (frequency)

14
12

10

0 10 20 30 40 50 60 70
Marks

Construction of frequency polygon without histogram

Do it yourself 10
From the following data construct a Frequency polygon without histogram. (6 marks)
Chapter 4 – Presentation of Data

Daily earning (`) No. of wage earners


45–49 2
50–54 3
55–59 5
60–64 3
65–69 6
70–74 7
75-79 12
80–84 13
85–89 9
90–94 7
95–99 6
100–104 4
105–109 2
110–114 3
115–119 3

98
Top Tip
The Frequency Curve is obtained by drawing a smooth freehand curve passing through the points of the frequency
polygon as closely as possible. It may not necessarily pass through all the points of the frequency polygon but it passes
through them as closely as possible.

Ogive (or cumulative frequency curve)


A curve obtained by plotting on a graph the cumulative frequencies along y-axis against class limits (the upper
limits or the lower limits) of the frequency distribution, is called a cumulative frequency curve or ogive.
As there are two types of cumulative frequencies — ‘‘less than’’ type and ‘‘more than’’ type, accordingly there are
two ogives for any grouped frequency distribution data. Here, in place of simple frequencies as in the case of
frequency polygon, cumulative frequencies are plotted along y-axis against class limits of the frequency distribution.
 For ‘‘less than’’ ogive, cumulative frequencies are plotted against the upper limits of the class intervals.
 For “more than” ogive, cumulative frequencies are plotted against the lower limits of the class interval.

Example: Frequency distribution of marks obtained in mathematics


Frequency distribution Less than cumulative frequency More than cumulative frequency
Marks Number of Marks ‘Less than’ Marks ‘More than’
students cumulative frequency cumulative frequency

0-20 6 Less than 20 6 More than 0 64


20-40 5 Less than 40 11 More than 20 58
40-60 33 Less than 60 44 More than 40 53

Statistics for Economics XI – by Subhash Dey


60-80 14 Less than 80 58 More than 60 20
80-100 6 Less than 100 64 More than 80 6
Total 64

‘Less than’ Ogive ‘More than’ Ogive


65 65
60 60
55 55
No. of Students

No. of Students

50 50
45 45
40 40
35 35
30 30
25 25
20 20
15 15
10 10
5 Median = 52.72 5 Median = 52.72
0 0
10 20 30 40 50 60 70 80 90 100 10 20 30 40 50 60 70 80 90 100
Marks in Mathematics Marks in Mathematics

Top Tip
As the shapes of the two ogives suggest, ‘‘less than’’ ogive is never decreasing and ‘‘more than’’ ogive is never increasing.

99
Obtaining Median Graphically
An interesting feature of the two ogives together is that their intersection point gives the median.
Obtaining median from two ogives
From the point of intersection of the two ogives, draw a line perpendicular to the X-axis. The point where
the perpendicular line meets the X-axis, is the median.

65 ‘More than’ Ogive ‘Less than’ Ogive


60
55
No. of Students

50
45
40
35
30
25
20
15
10
5
Median = 52.72
0
10 20 30 40 50 60 70 80 90 100
Marks in Mathematics

Obtaining median from ‘less than’ or ‘more than’ ogive


Median can also be obtained either from ‘less than’ ogive or ‘more than’ ogive. Locate N/2 on the Y-axis
(where N = Sum total of all frequencies) and from this point draw a line parallel to the X-axis to intersect
the ogive. From this point, draw a perpendicular line on the X-axis. The point where the perpendicular line
meets the X-axis, is the median.

‘Less than’ Ogive ‘More than’ Ogive


65 65
Chapter 4 – Presentation of Data

60 60
55 55
No. of Students

No. of Students

50 50
45 45
40 40
35 35
30 30
25 25
20 20
15 15
10 10
5 Median = 52.72 5 Median = 52.72
0 0
10 20 30 40 50 60 70 80 90 100 10 20 30 40 50 60 70 80 90 100
Marks in Mathematics Marks in Mathematics

The term ‘ogive’ is pronounced as ‘ojeev’ and is derived from the word ogee. An ogee is a shape consisting of a concave arc flowing
into a convex arc, so forming an S-shaped curve with vertical ends.

100
Ilustration 11

From the following distribution of monthly income of 50 employees in a company, draw ‘less than’ and ‘more
than’ ogives. Hence, obtain the median. (6 marks)

Monthly Income (`in thousand) 10-20 20-30 30-40 40-50 50-60 60-70
No. of Employees 6 10 11 9 8 6

Solution:

Frequency distribution Less than cumulative frequency More than cumulative frequency
Monthly Number of Monthly ‘Less than’ Monthly ‘More than’
Income employees Income (` cumulative Income cumulative
(` thousand) (frequency) thousand) frequency (` thousand) frequency
10-20 6 Less than 20 6 More than 10 50
20-30 10 Less than 30 16 More than 20 44
30-40 11 Less than 40 27 More than 30 34
40-50 9 Less than 50 36 More than 40 23
50-60 8 Less than 60 44 More than 50 14
60-70 6 Less than 70 50 More than 60 6
Total 50

55 ‘More than’ Ogive ‘Less than’ Ogive


50
No. of Employees

Statistics for Economics XI – by Subhash Dey


45
40
35
30
25
20
15
10
5
Median = 38.18
0
10 20 30 40 50 60 70 80
Monthly Income (` thousand)

Median monthly income = `38.18 thousand.

Do it yourself 11
Draw ‘less than’ and ‘more than’ ogives (cumulative frequency curve) using the following data and obtain the
value of median graphically: (6 marks)
Marks 0-5 5-10 10-15 15-20 20-25 25-30 30-35 35-40
No. of students 7 10 20 13 12 10 15 8

101
Practice Questions
Question 1: Draw a multiple bar diagram from the following data: (4 marks)
Class X Result of Students
Year Number of students
1st Division 2nd Division 3rd Division
2016-17 10 30 50
2017-18 12 45 70
2018-19 14 50 60
2019-20 11 40 75

Question 2: Present the following data on the production of food grains in the form of a Sub-divided Bar
Diagram:
(3 marks)
Year Production (in million tones)
Wheat Rice Gram
2018 30 30 10
2019 45 45 15

Question 3: Show the following data in a pie diagram:


(4 marks)
Items Labour Bricks Cement Steel Timber Supervision
% Expenditure 25% 15% 20% 15% 10% 15%

Question 4: Draw pie diagram to represent the following information of expenditure by a family: (4 marks)
Items of Expenditure Food Education Housing Clothing Miscellaneous
% of total expenditure 60 15 10 10 5

Question 5: Represent the following data by a pie-diagram: (6 marks)


Items of Expenditure Food Housing Clothes Education Others
Expenditure (in `) 1,800 2,250 1,350 900 2,700
Chapter 4 – Presentation of Data

Question 6: With the given data below, draw a histogram and a frequency polygon: (4 marks)
Marks (mid-value) 5 15 25 35 45
No. of Students 8 18 15 22 14

Question 7: Draw a histogram and frequency polygon from the following data: (4 marks)
Marks 0-5 5-10 10-15 15-20 20-25 25-30 30-35 35-40 40-45 45-50
No of students 3 7 13 25 40 14 10 7 4 2

Question 8: Draw ‘less than’ and ‘more than’ ogives from the following data and obtain the value of median graphically:
(6 marks)
Weight (in Kg) 30-34 35-39 40-44 45-49 50-54 55-59 60-64
No. of students 3 5 12 18 14 6 2

Question 9: Present the data given below in a histogram: (4 marks)


Mid-value 5 10 15 20 25 30
Frequency 3 5 8 10 6 4

102
Question 10: Draw a frequency polygon for the data given below: (4 marks)
Daily pocket money (in `) 25-30 30-35 35-40 40-45
No. of students 9 13 9 5

Question 11: Represent the following data by means of a frequency polygon: (4 marks)
Wages (in `) 325-350 350-375 375-400 400-425 425-450
No of workers 20 45 60 35 10

Question 12: Draw a frequency polygon without histogram from the following table: (4 marks)
Marks 0-10 10-20 20-30 30-40 40-50 50-60
No. of students 5 12 15 22 14 4

Question 13: Draw ‘less than’ and ‘more than’ ogives from the following data and find the value of median
graphically: (6 marks)
Marks 0-10 10-20 20-30 30-40 40-50 50-60
No. of students 7 12 15 30 22 14

Question 14: Present the following data by a multiple bar diagram:


(4 marks)
No. of students (year-wise) in 3 sections of class XI
Year
XI A XI B XI B
2017-18 500 300 200
2018-19 600 250 300
2019-20 700 350 400

Question 15: 120 students of DPS were asked to opt for ‘different work experiences’. The details of these options

Statistics for Economics XI – by Subhash Dey


are as follows:
Areas of work experience No. of students
Photography 6
Clay modelling 30
Kitchen gardening 48
Doll making 12
Book binding 24

Represent the above data through a pie chart.


(6 marks)
Question 16: The following is the distribution of total household expenditure (in `) of 202 workers in a city.
Draw a Histogram and a Frequency Polygon for the given data. (6 marks)
Expenditure (in `) No. of workers
100-150 25
150-200 40
200-250 33
250-300 28
300-350 30
350-400 22
400-450 16
450-500 8

103
Objective Type Questions

1. Bar diagram is a __________. (Choose the correct alternative) (NCERT)


(a) one-dimensional diagram (b) two-dimensional diagram
(c) diagram with no dimension (d) none of the above
2. Data represented through a histogram can help in finding graphically the __________.
(Choose the correct alternative) (NCERT)
(a) mean (b) mode
(c) median (d) All of these
3. Ogives can be helpful in locating graphically the __________. (Choose the correct alternative) (NCERT)
(a) mode (b) mean
(c) median (d) None of these
4. Data represented through arithmetic line graph help in understanding: (Choose the correct alternative) (NCERT)
(a) long term trend (b) cyclicity in data
(c) seasonality in data (d) All of these
5. Width of bars in a bar diagram need not be equal. True/False? Give reason. (NCERT)
6. Width of rectangles in a histogram should essentially be equal. True/False? Give reason. (NCERT)
7. Histogram can only be formed with continuous classification of data. True/False? Give reason. (NCERT)
8. Histogram and Bar Diagram are the same method of presentation of data. True/False? Give reason. (NCERT)
9. Mode of a frequency distribution can be known graphically with the help of histogram. True/False? Give
reason. (NCERT)
10. Median of a frequency distribution can be known from the ogives. True/False? Give reason. (NCERT)
11. Pie charts usually are not drawn with absolute values of a category. True/False? Give reason.
12. For constructing a frequency polygon, both class boundaries and class marks can be used along the X-axis. True/
False? Give reason.
13. An arithmetic line graph is also called time series graph. True/False? Give reason.
14. Histogram is prepared in case of: (Choose the correct alternative)
Chapter 4 – Presentation of Data

(a) Individual Series (b) Discrete Series


(c) Continuous Series (d) None of these
15. While preparing Arithmetic line graph, we show ________ on the X-axis: (Choose the correct alternative)
(a) Time (b) Income
(c) Expense (d) All of these
16. Mode is found graphically by: (Choose the correct alternative)
(a) Frequency Polygon (b) Ogive
(c) Histogram (d) None of these
17. Median of a distribution can be obtained from ________. (Choose the correct alternative)
(a) Histogram (b) Frequency Polygon
(c) Ogives (d) None of these
18. Diagrammatic representation of the cumulative frequency distribution is: (Choose the correct alternative)
(a) Frequency Polygon (b) Ogive
(c) Histogram (d) None of these
19. Data (even voluminous data) speak meaningfully through ________________ . Fill in the blank.

104
20. In a _________ presentation, data are presented in rows (read horizontally) and columns (read
vertically).
(a) tabular (b) diagrammatic
(c) graphic (d) All of these
21. The most important advantage of tabulation is that it organises data for further statistical treatment
and__________ . For large quantity of data tabular presentation helps in accommodating any volume of data
for one or more_______ . Fill in the blanks.
22. When classification is done according to attributes, such as social status, physical status, nationality, etc.,
it is called __________ classification. (Choose the correct alternative)
(a) Qualitative (b) Quantitative
(c) Temporal (d) Spatial
23. The attributes for classification are sex and location which are _______ in nature. Fill in the blank.
24. In this classification ‘time’ becomes the classifying variable and data are categorised according to time.
(Choose the correct alternative)
(a) Qualitative (b) Quantitative
(c) Temporal (d) Spatial
25. If more than one table is presented, it is the__________ that distinguishes one table from another. Fill in
the blank.
26. The _______ of a table narrates about the contents of the table. Fill in the blank.
27. The designations of the rows are also called ___________, and the complete left column is known as
____________. Fill in the blanks.
28. Match the columns:
(i) At the top of each column in a table, a column designation (a) Title
is given to explain figures of the column.

Statistics for Economics XI – by Subhash Dey


(ii) It is given at the top or at the beginning of the title (b) Table number
of the table.
(iii) It has to be clear, brief and carefully worded so that (c) Caption
the interpretations made from the table are clear and
free from ambiguity.
(iv) The main part which contains the actual data. (d) Body of the table
29. ___________ of data translates quite effectively the highly abstract ideas contained in numbers into more
concrete and easily comprehensible form. Fill in the blank.
30. Which of the following is a diagrammatic presentation of data? (Choose the correct alternative)
(a) Geometric diagram (b) Frequency diagram
(c) Arithmetic line graph (d) All of these
31. _____ of a bar diagram can be visually compared by their relative height and accordingly data are comprehended
quickly. __________ of the bar reads the magnitude of data. Fill in the blanks.
32. Bar diagrams are suitable for: (Choose the correct alternative)
(a) Frequency type variables and attributes. (b) Non-frequency type variables and attributes.
(c) Both (a) and (b) (d) Neither (a) nor (b)
33. _______ are used for comparing two or more sets of data, for example income and expenditure or import
and export for different years, marks obtained in different subjects in different classes, etc.
(Choose the correct alternative)
(a) Simple bar diagrams (b) Multiple bar diagrams
(c) Component bar diagrams (d) Both (b) and (c)
105
34. A _____ shows the bar and its sub-divisions into two or more components. (Choose the correct alternative)
(a) Simple bar diagram (b) Multiple bar diagram
(c) Component bar diagram (d) All of these
35. If you are interested to know the expenditure pattern in a typical Indian family (components being food,
rent, medicine, education, power, etc.), which of the following is suitable? (Choose the correct alternative)
(a) Simple bar diagram (b) Multiple bar diagram
(c) Component bar diagram (d) None of these
36. To construct a component bar diagram, first of all, a bar is constructed on the X-axis with its height equivalent to
the ___________ and for per cent data the bar height is of ___________ . Fill in the blanks.
37. To construct a component bar diagram, ______ are given priority in parting the bar. (Choose the correct alternative)
(a) smaller components (b) larger components
(c) moderate components (d) None of these
38. A pie diagram is also a _________________, but it is a circle whose area is proportionally divided among
the components it represents. (Choose the correct alternative)
(a) pie chart (b) component diagram
(c) Both (a) and (b) (d) Neither (a) nor (b)
39. A circle in a pie chart, irrespective of its value of radius, is thought of having ______ equal parts of ______
degree each. Fill in the blanks.
40. Data in the form of grouped frequency distributions are generally represented by:
(Choose the correct alternative)
(a) Histogram (b) Frequency polygon
(c) Ogive (d) All of these
41. A histogram is a _________ diagram. (Choose the correct alternative)
(a) one dimensional (b) two dimensional
(c) multi-dimensional (d) None of these
42. A histogram is never drawn for a _________ variable. Fill in the blank.
43. While constructing a histogram, if bases vary in their width, the heights of rectangles are to be adjusted to yield
comparable measurements. The answer in such a situation is _______________ instead of absolute frequency.
Fill in the blank.
44. In ________ no space is left between two rectangles, but in a ________ some space must be left between
consecutive bars. Fill in the blanks.
Chapter 4 – Presentation of Data

45. We can have a _________ (bar Diagram/Histogram) both for discrete and continuous variables.
(Choose the correct alternative)
46. _________ (bar Diagram/Histogram) also gives value of mode of the frequency distribution graphically.
(Choose the correct alternative)
47. A frequency polygon is a plane bounded by straight lines, usually __________ or more lines. Fill in the blank.
48. Frequency polygon is an alternative to and is also derived from ________ itself. Fill in the blank.
49. __________ is the most common method of presenting grouped frequency distribution.
(Choose the correct alternative)
(a) Histogram (b) Frequency polygon
c) Frequency curve (d) Ogive
50. The simplest method of drawing a frequency polygon is to join the ________ of the topside of the consecutive
rectangles of the histogram. Fill in the blank.
51. While constructing a frequency polygon, _____________ may join the two ends with the base line. Fill in
the blank.
52. While constructing a frequency polygon, _________ are plotted against the ________ of class intervals. Fill
in the blanks.

106
53. When comparing two or more distributions plotted on the same axes, ____________ is likely to be more
useful than histogram since the vertical and horizontal lines of two or more distributions may coincide in a
histogram. Fill in the blank.
54. The ____________ is obtained by drawing a smooth freehand curve passing through the points of the frequency
polygon as closely as possible. Fill in the blank.
55. A curve obtained by plotting on a graph the cumulative frequencies along y-axis against class limits of the
frequency distribution, is called a ____________________. (Choose the correct alternative)
(a) frequency curve (b) less than ogive
(c) more than ogive (d) cumulative frequency curve or ogive
56. For __________ ogives the cumulative frequencies are plotted against the respective lower limits of the class
interval. Fill in the blank.
57. An interesting feature of the two ogives together is that their intersection point gives the___________ .
(Choose the correct alternative)
(a) mean (b) median
(c) mode (d) range
58. A line graph by joining the plotted points (time along x-axis and the value of the variable along y-axis)
is called______________ . (Choose the correct alternative)
(a) frequency curve (b) time series graph
(c) frequency polygon (d) histogram
59. The mode of presentation of data are: (Choose the correct alternative)
(a) Textual, tabulation and diagrammatic (b) Tabular, internal and external
(c) Textual, tabular and internal (d) Tabular, textual and external
60. The best method of presentation of data is: (Choose the correct alternative)

Statistics for Economics XI – by Subhash Dey


(a) Textual (b) Tabular
(c) Diagrammatic (d) Both (b) and (c).
61. The most attractive method of data presentation is: (Choose the correct alternative)
(a) Tabular (b) Textual
(c) Diagrammatic (d) Either (a) or (b)
62. ‘Stub’ of a statistical table is the: (Choose the correct alternative)
(a) Left part of the table describing the columns
(b) Right part of the table describing the columns
(c) Right part of the table describing the rows
(d) Left part of the table describing the rows
63. In tabulation source of the data, if any, is shown in the: (Choose the correct alternative)
(a) Note (b) Body of the table
(c) Stub (d) Caption
64. Which of the following statements is untrue for tabulation? (Choose the correct alternative)
(a) Statistical analysis of data requires tabulation.
(b) It facilitates comparison between rows and not columns.
(c) Complicated data can be presented.
(d) Diagrammatic representation of data requires tabulation.

107
65. Hidden trend, if any, in the data can be noticed in: (Choose the correct alternative)
(a) Textual presentation (b) Tabulation
(c) Diagrammatic representation (d) All of these.
66. Diagrammatic representation of data is done by: (Choose the correct alternative)
(a) Diagrams (b) Charts
(c) Pictures (d) All of these
67. The most accurate mode of data presentation is: (Choose the correct alternative)
(a) Diagrammatic method (b) Tabulation
(c) Textual presentation (d) None of these
68. Frequency density corresponding to a class interval is the ratio of: (Choose the correct alternative)
(a) Class frequency to the total frequency (b) Class frequency to the class size
(c) Class length to the class frequency (d) Class frequency to the cumulative frequency
69. Median of a distribution can be obtained from: (Choose the correct alternative)
(a) Frequency polygon (b) Histogram
(c) Less than type ogive (d) None of these
70. Graph is a ____________. (Choose the correct alternative)
(a) Arithmetic Line diagram (b) Bar diagram
(c) Pie diagram (d) Pictogram
71. Unequal widths of classes in the frequency distribution do not cause any difficulty in the construction
of: (Choose the correct alternative)
(a) Ogive (b) Frequency Polygon
(c) Histogram (d) None of these
72. The graphical representation of a cumulative frequency distribution is called: (Choose the correct alternative)
(a) Histogram (b) Ogive
(c) Cumulative frequency curve (d) Both (b) and (c)
73. Frequency density is used in the construction of __________ when the classes are of unequal width.
(Choose the correct alternative)
Chapter 4 – Presentation of Data

(a) Histogram (b) Ogive


(c) Frequency Polygon (d) All of these
74. Histogram emphasizes the widths of rectangles between the class boundaries. (True/False)
75. To find the mode graphically, ______ may be used. Fill up the blank with correct answer.
76. Diagrammatic representation of the cumulative frequency distribution is called ________.
(Choose the correct alternative)
(a) Frequency Polygon (b) Ogive
(c) Histogram (d) None of these
77. An Ogive can be prepared in _____________ different ways. (Choose the correct alternative)
(a) 2 (b) 3
(c) 4 (d) None of these
78. The curve obtained by joining the points, whose x- coordinates are the upper limits of the class-intervals and
y coordinates are corresponding cumulative frequencies is called _________. (Choose the correct alternative)
(a) Ogive (b) Histogram
(c) Frequency Polygon (d) Frequency Curve

108
Exercises
1. What is ‘tabular presentation of data’? Explain briefly the four kinds of classification used is tabulation? (6 marks)
2. Distinguish between ‘Temporal Classification’ and ‘Spatial Classification’ of data used in tabulation with the help
of an example of each. (4 marks)
3. What are the parts of a good statistical table? Explain. (6 marks)
4. Explain the following parts of a table: (3 marks)
(a) Captions (b) Stubs (c) Body of the table
5. Explain briefly the different types of Bar Diagrams. (6 marks)
6. Distinguish between ‘Component Bar Diagram’ and ‘Pie Diagram’. (6 marks)
7. Give the differences between a histogram and a bar diagram. (4 marks)
8. Explain any three types of frequency diagrams. (6 marks)
9. “A frequency polygon is an alternative to histogram and is also derived from histogram itself.” Explain. (6 marks)
10. What is ‘ogive’? Explain the two types of ‘ogives’. (3 marks)
11. What is ‘Arithmetic Line Graph? Explain its usefulness. (3 marks)
12. How does the procedure of drawing a histogram differ when class intervals are unequal in comparison to equal
class intervals in a frequency table? (NCERT) (3 marks)

Statistics for Economics XI – by Subhash Dey


Chapter 4: Presentation of Data

Time allowed : 1 hour Maximum Marks : 30


1. Pie-diagram is used for: (Choose the correct alternative) (1)
(a) Representing qualitative data in a circle
(b) Comparing different components and their relation to the total
(c) Representing quantitative data in circle
(d) Either (b) or (c)
2. A comparison among the class frequencies is possible only in: (Choose the correct alternative) (1)
(a) Frequency polygon (b) Histogram
(c) Ogive (d) Either (a) or (b)
3. Frequency curve is a limiting form of: (Choose the correct alternative) (1)
(a) Frequency polygon (b) Histogram
(c) Either (a) or (b) (d) Both (a) and (b)
4. Cost of sugar in a month under the heads raw materials, labour, direct production and others were 12, 20, 35 and
23 units respectively. What is the difference between the central angles for the largest and smallest components
of the cost of sugar? (Choose the correct alternative) (1)
(a) 72o (b) 48o
(c) 56o (d) 92o

109

5. An approximate idea of the shape of frequency curve is given by: (Choose the correct alternative) (1)
(a) Ogive (b) Frequency Polygon
(c) Line diagram (d) Bar diagram
6. In Histogram if the classes are of unequal width then the heights of the rectangles must be proportional to the
frequency densities. (True/False) (1)
7. When all classes have equal width, the heights of the rectangles in Histogram will be numerically equal to the
__________. (Fill up the blank with correct answer) (1)
8. When the width of all classes is same, frequency polygon has the same area as the Histogram. (True/False) (1)
9. For obtaining frequency polygon, we join the successive points whose abscissa (x-coordinate) represent the
corresponding class frequency. (True/False) (1)
10. If a company interested to know how its sales and profits have fluctuated over the years, which of the following
should it prepare? (Choose the correct alternative) (1)
(a) Bar diagram (b) Pie diagram
(c) Histogram (d) Arithmetic line graph
11. Bar diagram and pie diagram come in the category of ___________. (Choose the correct alternative) (1)
(a) Geometric diagram (b) Frequency diagram
(c) Arithmetic line graph (d) None of these
12. Discrete variables like family size, spots on a dice, grades in an examination, etc. and attributes such as gender,
religion, caste, country, etc. can be represented by__________. (Fill up the blank with correct answer) (1)
13. The total area under the frequency polygon or the histogram represents the___________ .
(Fill up the blank with correct answer) (1)
14. A ‘‘less than’’ ogive is never________ . (Choose the correct alternative) (1)
(a) increasing (b) decreasing
(c) constant (d) None of these
1 5. The breadth of the rectangle is equal to the length of the class-interval in _________. (Ogive/Histogram)
(Fill up the blank with correct option) (1)
16. When all classes have an equal class width, _________ is used. (Pie chart/Frequency polygon)
(Fill up the blank with correct option) (1)
Chapter 4 – Presentation of Data

17. In a trip organised by Hindu College, there were 100 persons each of whom paid `1,560 on an average. There
were 80 students, each of whom paid `1,600. Members of the teaching staff were charged at a higher rate. The
number of servants (all males) was 6, and they were not charged anything. The number of female members was
20 per cent of the total, and of which two were female staff members. Tabulate the given information. (3)
18. What kind of diagrams are more effective in representing the following? Explain. (3)
(i) Monthly rainfall in a year
(ii) Composition of the population of Delhi by religion
(iii) Components of cost in a factory
19. Prepare a histogram and a frequency curve from the following data: (4)
Marks 30-35 35-40 40-45 45-50 50-55 55-60 60-65 65-70 70-75
No. of students 10 12 20 26 20 38 28 18 12

20. Draw an appropriate diagram to represent the following data: (4)


Source Income tax Corporate tax Goods and Services Tax Miscellaneous
Revenue (in million `) 160 75 270 35

110
Self Assessment Test 1

Presentation of Data
Time allowed : 1 hour Maximum Marks : 25
Q.1 What is meant by tabulation? (1 mark)
Q.2 A graph that represent the class frequencies in a frequency distribution by vertical rectangles is called _________.
(Fill up the blank) (1 mark)
Q.3 For presenting the 12th class exam results of different faculty (Science, Commerce and Arts) of a school
pertaining the last 3 years in an impressive way, which of the following digrams will be suitable?
(Choose the correct alternative) (1 mark)
(a) Simple bar diagram (b) Multiple bar diagram
(c) Sub-divided bar diagram (d) Both (b)and (c)
Q.4 Which of the following information can be derived with the help of histogram?
(Choose the correct alternative) (1 mark)
(a) Mean (b) Median
(c) Mode (d) Correlation
Q.5 Choose the correct match: (1 mark)
(a) Diagram formed by joining mid points of the tops of all rectangles in a Histogram ⇒ Ogive
(b) Diagram which shows total value as well as part values of a set of data simultaneously ⇒ Sub-divided bar diagram
(c) One dimensional diagram ⇒ Frequency polygon
Q.6 What is ‘ogive’? Explain the two types of ogives. (3 marks)
Q.7 What is Arithmetic Line Graph? State its usefulness. (3 marks)

Statistics for Economics XI – by Subhash Dey


Q.8 Represent the following data by means of a component (sub-divided) bar diagram: (4 marks)
Year Males Females Total Population
2016-17 25 10 35
2017-18 30 20 50
2018-19 50 25 75

Q.9 With the help of given data, construct a frequency polygon without histogram. (4 marks)
Marks 30-35 35-40 40-45 45-50 50-55 55-60 60-65
No. of students 10 24 30 44 28 22 14

Q.10 Convert the following frequency distribution of marks obtained by 225 commerce students of a school into
a ‘more than’ type cumulative frequency distribution, draw ‘more than’ ogive and obtain the value of median
graphically: (6 marks)
Marks 0-10 10-20 20-30 30-40 40-50
No. of students 30 45 55 60 35

111
Self Assessment Test 2

Presentation of Data
Time allowed : 1 hour Maximum Marks : 25
Q.1 The diagram which is formed by joining mid-points of the top of all rectangles in a histogram in straight lines is
called __________. (Fill up the blank) (1 mark)
Q.2 A systematic presentation of data in columns and rows is known as __________. (Fill up the blank) (1 mark)
Q.3 The title given to the vertical columns of a table is called:      (Choose the correct alternative) (1 mark)
(a) Title (b) Stubs
(c) Caption (d) Both (b) and (c)
Q.4 In Arithmetic line graphs, which of the following is shown on x-axis? (Choose the correct alternative) (1 mark)
(a) Income (b) Expenditure
(c) Time (d) Any of these
Q.5 If a family spends 30% of its income on food, then to present it in pie diagram, how many degrees of angle is
formed? (Choose the correct alternative) (1 mark)
(a) 96o (b) 108o
(c) 120o (d) 132o

Q.6 Prepare a multiple bar diagram from the following data: (3 marks)
Faculty 2017-18 2018-19 2019-20
Arts 600 550 500
Science 400 500 600
Commerce 200 250 300

Q.7 ‘Though a Histogram looks similar to a bar diagram, yet their are more differences than similarities between the
two.’ State any three differences between a histogram and a bar diagram. (3 marks)

Q.8 With the help of given data, draw a histogram and a frequency polygon. Also find the value of mode graphically.
(4 marks)
Chapter 4 – Presentation of Data

Marks 0-10 10-20 20-30 30-40 40-50


No. of students 8 18 15 22 14

Q.9 Explain the main parts of a good statistical table. (4 marks)

Q.10 Represent the folowing data by a pie diagram: (6 marks)


Items Food Housing Clothes Education Others
Monthly Expenditure (`) 1800 2250 1350 900 2700

112
Self Assessment Test 3

Chapter 1: Introduction
Chapter 2: Collection of Data
Chapter 3: Organisation of Data
Chapter 4: Presentation of Data
Time allowed : 1 hour 30 minutes Maximum Marks : 40
Q.1 Which of the following can be obtained through ogive(s)? (Choose the correct alternative) (1 mark)
(a) Mean (b) Median
(c) Mode (d) Both (b) and (c)
Q.2 Which of the following statement is correct? (Choose the correct alternative) (1 mark)
(a) Mode can be obtained through ogives.
(b) The breadth of bars in a bar diagram must be equal.
(c) The breadth of rectangles in histogram is always equal.
(d) None of the above
Q.3 For tabulation, ‘caption’ is (Choose the correct alternative) (1 mark)
(a) The upper part of the table
(b) The lower part of the table
(c) The main part of the table
(d) The upper part of a table that describes the column and sub-column.
Q.4 Mode of a distribution can be obtained from: (Choose the correct alternative) (1 mark)
(a) Histogram (b) Less than type ogive
(c) More than type ogive (d) Frequency polygon

Statistics for Economics XI – by Subhash Dey


Q.5 (Class frequency)/(Width of the class) is defined as (Choose the correct alternative) (1 mark)
(a) Frequency density (b) Frequency distribution
(c) Frequency polygon (d) Frequency array
Q.6 An area diagram is: (Choose the correct alternative) (1 mark)
(a) Histogram (b) Frequency Polygon
(c) Ogive (d) None of these
Q.7 Consecutive rectangles in a Histogram have no space in between. (True/False) (1 mark)
Q.8 We want to know how the national income or the total income arising from what has been produced in the
country (called the Gross Domestic Product or GDP) is distributed through wages (and salaries), profits and
interest . This is the study of _______. (Choose the correct alternative) (1 mark)
(a) Consumption (b) Production
(c) Distribution (d) Statistics
Q.9 In a questionnaire, the questions should ___________ . (Choose the correct alternative) (1 mark)
(a) be precise and clear (b) move from general to specific
(c) Both (a) and (b) (d) be ambiguous
Q.10 The number of students getting scholarship between `2,500 and `3,000 from the following data is: (1 mark)
Scholarship ( more than `) 2,000 2,500 3,000 3,500
No. of students 256 238 215 0
(a) 36 (b) 25
(c) 23 (d) 18

113
Q.11 Represent the following data with the help of multiple bar diagram: (3 marks)
Year 2016 2017 2018 2019
Exports (crores of `) 73 80 85 80
Imports (crores of `) 70 72 75 85

Q.12 State any three points of importance of statistics in economics. (3 marks)


Q.13 Draw a suitable diagram for a following data: (4 marks)
Items Percentage of total expenditure
Food 65
Clothing 10
Housing 12
Fuel and Lighting 5
Miscellaneous 8

Q.14 Distinguish between ‘Census’ and ‘Sample’ surveys with an example of each. (4 marks)
Q.15 Draw a ‘less than’ ogive for the following frequency distibution and obtain the median graphically:
(4 marks)
IQ 60-70 70-80 80-90 90-100 100-110 110-120 120-130
No. of students 2 5 12 31 39 10 4

Q.16 Draw a histogram and frequency polygon for the following data: (6 marks)
Marks 5-9 10-14 15-19 20-24 25-29 30-34
No of students 4 17 25 32 16 6

Q.17 Use the data in the following table that relate to monthly household expenditure (in `) on food of 50 households.
Monthly Household Expenditure (in Rupees) on Food of 50 Households
1904 1559 3473 1735 2760
2041 1612 1753 1855 4439
5090 1085 1823 2346 1523
Chapter 4 – Presentation of Data

1211 1360 1110 2152 1183


1218 1315 1105 2628 2712
4248 1812 1264 1183 1171
1007 1180 1953 1137 2048
2025 1583 1324 2621 3676
1397 1832 1962 2177 2575
1293 1365 1146 3222 1396

(i) Obtain the range of monthly household expenditure on food.


(ii) Divide the range into appropriate number of class intervals and obtain frequency distribution of expenditure.
(iii) Find the number of households whose monthly expenditure on food is:
(a) less than `2000, and
(b) more than `3000 (6 marks)

114
Check List to Objective Type Questions
1. (a) 2. (b) 3. (c) 4. (a) 3 1. Bars, Height or length
5. True: A Bar Diagram is one dimensional. It is the 32. (c) 33. (d) 34. (c) 35. (c)
height and not the width or the area of the bar that 36. total value of the bar, 100 units
really matters. Although the bars have the same width, 37. (a) 38. (b) 39. 100, 3.6
the width of a bar is unimportant for the purpose of
40. (d) 41. (b) 42. discrete
comparison.
43. frequency density (class frequency divided by width of
6. True: A Histogram is two-dimensional, i.e., the
the class interval)
width of the class and class frequency both are taken
into consideration. The width in a histogram is as 44. Histogram, Bar Diagram
important as its height. 45. Bar diagram
7. True: If the classes are not continuous they are first 46. Histogram
converted into continuous classes. 47. four
8. False: In Histogram no space is left between two 48. histogram
rectangles, but in a Bar Diagram some space must 49. (b) Frequency polygon
be left between consecutive bars (except in multiple 50. midpoints
bar or component bar diagram). We can have a Bar
51. broken lines or dots
Diagram both for discrete and continuous variables,
but Histogram is drawn only for a continuous 52. Frequencies, mid-points
variable. Histogram also gives value of mode of the 53. frequency polygon
frequency distribution graphically. 54. frequency curve
9. True: Histogram gives value of mode of the frequency 55. (d) cumulative frequency curve or ogive
distribution graphically. 56. “more than”
10. True: The two ogives together gives the median. The 57. (b) median
X-coordinate of the perpendicular drawn from the point of 58. (b) time series graph
intersection of the two ogives gives the value of the median.

Statistics for Economics XI – by Subhash Dey


59. (a) Textual, tabulation and diagrammatic
11. True: The values of each category are first expressed
60. (b) Tabular
as percentage of the total value of all the categories.
Then, to find out the angle, which the component 61. (c) Diagrammatic
shall subtend at the centre of the circle, each percentage 62. (d) Left part of the table describing the rows.
figure of every component is multiplied by 3.6°. 63. (a) Note
12. True: No matter whether class boundaries or 64. (b) It facilitates comparison between rows and not columns
midpoints are used in the X-axis, frequencies (as 65. (c) Diagrammatic representation
ordinates) are always plotted against the mid-point of
66. (d) All of these
class intervals.
67. (b) Tabulation
13. True: In this graph, time (hour, day/date, week,
month, year, etc.) is plotted along x-axis and the value 68. (b) Class frequency to the class size
of the variable (time series data) along y-axis. 69. (c) Less than type ogive
14. (c) 15. (a) 16. (c) 17. (c)  18.  (b) 70. (a) Arithmetic Line diagram
19. presentation 20. (a) 71. (c) Histogram
21. decision-making, variables 22. (a) 72. (d) Both (b) and (c)
23. qualitative 24. (c) 73. (a) Histogram
25. table number 26. title 74. True
27. stubs or stub items, stub column 75. Histogram
28. (i) – (c), (ii) – (b), (iii) – (a), (iv) – (d) 76. (b) Ogive
29. Diagrammatic presentation 77. (a) 2
30. (d) All of these 78. (a) Ogive
115
Chapter 4 – Presentation of Data

Notes

116
Measures of Central Tendency

Statistics for Economics XI – by Subhash Dey


CBSE Syllabus 2020-21
Arithmetic Mean, Median and Mode

Learning Objectives
5 Chapter
Studying this chapter should enable you to:
 understand the need for summarising a set of data by one single number;
 recognise and distinguish between the different types of averages;
 learn to compute different types of averages;
 draw meaningful conclusions from a set of data;
 develop an understanding of which type of average would be the most useful in a
particular situation.

117
Introduction
In the previous chapter, you have read about the tabular and graphic representation of the data. In this chapter,
you will study the measures of central tendency which is a numerical method to explain the data in brief. You
can see examples of summarising a large set of data in day-to-day life, like average marks obtained by students
of a class in a test, average rainfall in an area, average production in a factory, average income of persons living
in a locality or working in a firm, etc.
Madhav is a farmer. He grows food grains in his land in a village called Ghatal in Midnapur district of West
Bengal. The village consists of 50 small farmers. Madhav has 1 acre of land. You are interested in knowing the
economic condition of small farmers of Ghatal. You want to compare the economic condition of Madhav in
Ghatal village.
For this, you may have to evaluate the size of his land holding, by comparing with the size of land holdings of
other farmers of Ghatal. You may like to see if the land owned by Madhav is –
1. above average in ordinary sense (Arithmetic Mean)
2. above the size of what half the farmers own (Median)
3. above what most of the farmers own (Mode)
In order to evaluate Madhav’s relative economic condition, you will have to summarise the whole set of data of
land holdings of the farmers of Ghatal. This can be done by the use of central tendency, which summarises the
data in a single value in such a way that this single value can represent the entire data.
Meaning and Objectives/Significance of Measures of Central Tendency
A measures of central tendency or “average” is a way of summarising the data in the form of a typical or
representative value. In other words, measures of central tendency or averages are used to summarise the data.
It specifies a single most representative value to describe the data set.
There are several statistical measures of central tendency or “averages”. The three most commonly used
Chapter 5 – Measures of Central Tendency

averages are:
 Arithmetic Mean                  Median                  Mode

The following points highlight the objectives and significance of the measures of central tendency or “averages”
in statistical work:
1. To Represent the whole group – An average gives a single figure that describe the characteristics of the
entire group so that one can get the quick understanding of the general size of the individuals in the group.
2. To facilitate comparison– An average helps in comparing one set of data with the other. For example, the
performance of the students of two different schools can be compared by knowing their average results.
3. To facilitate further statistical analysis– Various tools of statistical analysis like standard deviation,
correlation etc. are based on averages.
4. To help in decision-making – Averages are used in our daily life. Averages helps in making decisions and
in planning in various areas. A businessman may like to know the normal output of a plant, sales level,
etc. All this refers to averages.
Thus, the main functions of the measures of central tendency are:
• One representative value for the whole group
• To represent a brief picture of data
• Comparisons
• Formulation of policies

118
5.1 Arithmetic Mean
Arithmetic mean is the most commonly used measure of central tendency.
It is defined as the sum of the values of all observations divided by the number of observations and is
usually denoted by X .
In general, if there are N observations as X1, X2, X3, ..., XN, then the Arithmetic Mean is given by:
X1 + X 2 + X 2 +  + X N
X=
N
N
∑ Xi
The right hand side can be written as i =1 . Here, i is an index which takes successive values 1, 2, 3,...N.
N
For convenience, this will be written in simpler form without the index i.
ΣX
X=
N
where, SX = sum of all observations and N = total number of observations.

Statistics for Economics XI – by Subhash Dey


Example 1

The monthly income (in `) of six families is given as follows. Calculate the arithmetic mean and interpret the
result. (1 mark)
1600, 1500, 1400, 1525, 1625, 1630
Solution: The mean family income is obtained by adding up the incomes and dividing by the number of families.

ΣX = 1600 + 1500 + 1400 + 1525 + 1625 + 1630 = `1,547


X=
N 6
Interpretation: It implies that on an average, a family earns `1,547.

Do it yourself 1

Calculate Arithmetic Mean from the data showing marks of students in a class in an economics test: 40, 50, 55,
78, 58. Also, interpret the result. (1 mark)
[Ans. 56.2]

119
Some Interesting Properties of Arithmetic Mean
1. The sum of deviations of items about arithmetic mean is always equal to zero.
Symbolically, S ( X – X ) = 0
Example:
X (X – X)
10 – 20
20 – 10
30 0
40 + 10
50 + 20
SX = 150 S(X – X) = 0
ΣX 150
=
X = = 30.
N 5
Now we calculate the deviations of all the items from the arithmetic mean ( X = 30), we find that the sum
of the deviations from the arithmetic mean, i.e. S (X –X) comes out to be zero.

2. Arithmetic Mean is affected by extreme values.


Any large value, on either end, can push it up or down.
Since the value of mean depends upon each and every value of the series, extreme values, i.e., very small and
very large values, unduly affect the value of the arithmetic mean. For example, suppose in a tutorial group
there are 4 students and their marks in a test are 60, 70, 55 and 65.

Arithmetic mean = 60 + 70 + 55 +=
65 250
= 62.5 marks
Chapter 5 – Measures of Central Tendency

4 4
Now, suppose if the marks of the third student were 95 instead of 55, the arithmetic mean would be:
60 + 70 + 95 + 65 290
= = 72.5 marks
4 4
Thus, one single large value, i.e., 95 has increased the average marks considerably.

Example 2

The average age of class having 35 students is 14 years. When the age of the class teacher is added to the sum of
the ages of the students, the average rises by 0.5 year. What must be the age of the teacher? (3 marks)
ΣX
Solution: =
X ⇒ Σ= X N X . Therefore, total age of 35 students = 35 × 14 = 490
N
After adding the age of the teacher, the average age = 14.5 years
Therefore, total age of students and the teacher together = 36 × 14.5 = 522
Thus, age of the teacher = 522 – 490 = 32 years

Do it yourself 2
Suppose mean of a series of 5 items is 30. Four values are, 10,15,30 and 35 respectively. Find the missing (5th
value) of the series. [Ans. 60] (1 mark)

120
Example 3

The mean marks of 100 students were found to be 40. Later on it was discovered that a score of 53 was wrongly
read as 83. Find the correct mean marks. (3 marks)
ΣX
Solution: N = 100, X = 40. Since X = , therefore SX = N X = 100 × 40 = 4,000. But this is not correct SX.
N
Correct SX = Incorrect SX – wrong item + correct item = 4,000 – 83 + 53 = 3,970
correct ΣX 3,970
Therefore, correct mean marks = = = 39.7
N 100

Do it yourself 3
The average weight of a group of 25 boys was calculated to be 52 kg. It was later discovered that one weight was
misread as 45 kg instead of 54 kg. Calculate the correct average weight. [Ans. 52.36 kg ] (3 marks)

Example 4

The mean marks of 100 students were found to be 40. Later on it was discovered that two scores were wrongly
taken as 30 and 27 instead of 3 and 72. Find the correct mean marks. (3 marks)
ΣX
Solution: N = 100, X = 40. Since X = , therefore SX = N X = 100 × 40 = 4,000. But this is not correct SX.
N

Correct SX = Incorrect SX – sum of wrong items + sum of correct items


= 4,000 – (30 + 27) + (3 + 72) = 4,000 – 57 + 75 = 4,018

Statistics for Economics XI – by Subhash Dey


correct ΣX 4,018
Therefore, correct mean marks = = = 40.18
N 100

Do it yourself 4

The mean salary paid to 1,000 employees of a factory was found to be `180.4. Later on it was discovered that the
wages of two employees were wrongly taken as `297 and `165 instead of `197 and `185. Find the correct mean
salary. [Ans. `180.32 ] (3 marks)

Example 5

The average marks in statistics of 10 students of a class were 68. A new students took admission with 72 marks
where as two existing students left the college. If the marks of these students were 40 and 39, find the correct
average marks. (3 marks)
ΣX
Solution: N = 10, X = 68. Since X = , therefore SX = N X = 10 × 68 = 680. But this is not correct SX.
N

Correct SX = 680 – (40 + 39) + 72 = 673


correct ΣX 673
Therefore, correct average marks = = = 67.3
N 10

121
Do it yourself 5
What will be the new mean , if it is known that for a group of 10 students, scoring an average of 60 marks, the
best paper was wrongly marked 80 instead of 75? [Ans. 59.5 marks ] (3 marks)

Combined Mean
If we have the arithmetic mean and number of items of two groups, we can compute combined mean
of these two groups by applying the following formula:

N1 X1 + N 2 X 2
X12 =
N1 + N 2

where,
N1 = Number of items in the first group N2 = Number of items in the second group
X 1 = Arithmetic mean of the first group X 2 = Arithmetic mean of the second group
X12 = Combined mean of the two groups
For example, the mean height of 25 male workers in a factory is 165 cm and the mean height of 35 female
workers in the same factory is 155 cm.
The combined mean height of total 60 workers in the factory will be:

N1 X1 + N 2 X 2
X12 = , where N1 = 25, X 1 = 165, N2 = 35, X 2 = 155
N1 + N 2

(25 ×165) + (35 × 155) 4,125 + 5,425


Chapter 5 – Measures of Central Tendency


= X12 = = 159.17 cm
25 + 35 60

Note
If we have to find out the combined mean of three groups, the formula will be:
N1 X1 + N 2 X 2 + N3 X 3
X123 =
N1 + N 2 + N3

Example 6

The mean marks of 60 students in section A is 40 and mean marks of 40 students in section B is 35. Calculate
the combined mean marks of all the students of sections A and B. (3 marks)
Solution:
Sections No. of students Mean marks
A N1 = 60 X 1 = 40

B N2 = 40 X 2 = 35

N1 X1 + N 2 X 2 ( 60 × 40 ) + ( 40 × 35)
Combined mean marks X12 = = = 38 marks
N1 + N 2 60 + 40

122
Do it yourself 6
There were two sections in a class – A and B. There were 20 students in section A and their average marks were
50. In section B there were 25 students and their average marks were 60. Find out the average marks for the
whole class. [Ans. 55.55 marks ] (3 marks)

Example 7

The mean monthly wages paid to 1,000 workers of a factory were `5,000. The mean monthly wages paid to
male and female workers were `5,200 and `4,200 respectively. Determine the percentage of male workers and
female workers employed by the factory. (4 marks)
Solution: Suppose the number of male and female workers be N1 and N2 respectively.
Therefore, N1 + N2 = 1,000 ⇒ N1 = 1000 – N2

Given, X12 = 5,000; X 1 = 5,200 and X 2 = 4,200.

N1 X1 + N 2 X 2
X12 =
N1 + N 2
5,200N1 + 4,200N 2
=
Therefore, 5,000 ⇒ 5,200 N1 + 4,200
= (1000 − N1 ) 50,00,000
1,000
or, 5,200 N1 + 42,00,000 – 4,200 N1 = 50,00,000
or, 1,000 N1 = 8,00,000
Thus, N1 = 800
So, N2 = 1,000 – 800 = 200

Statistics for Economics XI – by Subhash Dey


800
Therefore, the percentage of male workers employed =  × 100 =
80% , and the percentage of female
1,000
200
workers employed = × 100 =
20%.
1,000

Do it yourself 7
The mean age of a combined group of men and women is 30 years. If the mean age of the group of men is 32 and
that of the group of women is 27, find out the percentage of men and women in the group. (3 marks)
[Ans. 60% and 40% respectively]

Example 8

The mean marks of students of combined sections A and B are 38. There are 60 and 40 students in sections in
sections A and B respectively. If mean marks of students in section A are 40, find out the mean marks of students
in section B. (4 marks)
Solution:
Sections No. of students Mean marks
A N1 = 60 X 1 = 40

B N2 = 40 X2 = ?

123
N1 X1 + N 2 X 2
Combined mean marks X12 = 38. We know that X12 =
N1 + N 2

60 × 40 + 40X
=
Therefore, 3.8 ⇒ 2,400 =
+ 40X 3,800
60 40
or, 40 X 2 = 1,400 ⇒ X 2 = 1,400/40 = 35
Therefore, mean marks of students in Section B = 35 marks

Do it yourself 8

The mean wage of 100 workers is `284. The mean wage of 70 workers is `290. Find the mean wage of remaining
30 workers. [Ans. `270 ] (3 marks)

Weighted Arithmetic Mean


One of the limitations of the simple arithmetic mean is that it gives equal importance to all the items. But
there are cases where the relative importance of the different items is not the same. In such cases, we calculate
the weighted arithmetic mean. It is important to assign weights to various items according to their importance
when we calculate the arithmetic mean.
For example,there are two commodities, mangoes and potatoes. We are interested in finding the average price
of mangoes(P1= `100) and potatoes (P2 = `30).

P1 + P2 100 + 30
The arithmetic mean will be  =  = `65.
2 2
However, we may want to give more importance to the rise in price of potatoes (P2). When the prices rise,
Chapter 5 – Measures of Central Tendency

we may be interested in the rise in prices of commodities that are more important to us.
To do this, we may use as ‘weights’ the share of mangoes in the budget of the consumer (W1 = 2) and the
share of potatoes in the budget (W2 = 10).
Now the arithmetic mean weighted by the shares in the budget would be:
W1 P1 + W2 P2 2 × 100 + 10 × 30
= = `41.67
W1 + W2 2 + 10
In general, the weighted arithmetic mean is given by:

W1 X1 + W2 X 2 + ... + Wn X n ΣWX
Xw = =
W1 + W2 + ... + Wn ΣW

Example 9

Find out weighted mean of the following: (3 marks)


Items Rice Wheat Pulses Cloth Others

Price `100 per kg `150 per kg `300 per kg `15 per metre `100 per unit

Weight 6 5 3 2 1

124
Solution: Calculation of Weighted Mean
Items Price (X) Weight (W) WX
Rice 100 6 600
Wheat 150 5 750
Pulses 300 3 900
Cloth 15 2 30
Others 100 1 100
SW = 17 SWX = 2380

ΣWX 2,380
Weighted mean=
Xw = = 140
ΣW 17

Do it yourself 9
A student obtained 60 marks in English, 75 in Hindi, 63 in Mathematics, 59 in Economics and 55 in Statistics.
Calculate the Weighted Mean marks if the weights are respectively: 2,1,5,5 and 3. [Ans. 60.62 marks ] (3 marks)

Example 10

A contractor employs three types of workers-male, female and children. To a male he pays `400 per day, to a
female worker `320 per day and to a child worker `150 per day. What is the average wage per day paid by the
contractor, if the number of male, female and child workers employed are 20, 15 and 5 respectively? (3 marks)
Solution:
The average wage would be the weighted arithmetic mean, calculated as follows:

Statistics for Economics XI – by Subhash Dey


Types of workers Wages per day (in `) X No. of workers W WX
Male 400 20 8,000
Female 320 15 4,800
Children 150 5 750
SW = 40 SWX = 13,550
ΣWX 13,550
=
Xw = = 338.75
ΣW 40
Therefore, the average wage per day paid by the contractor is `338.75

Do it yourself 10
Draw a histogram from the following data and find the mode graphically. (4 marks)
Food Items Wheat Rice Sugar Potato
Quantity Consumed (in kg) 300 400 200 500
Price (` per kg) 10 20 15 7

[Ans. 12.5 ]

125
The calculation of arithmetic mean can be studied under two broad categories:
1. Arithmetic Mean for Ungrouped Data   
2. Arithmetic Mean for Grouped Data

Arithmetic Mean for Series of Ungrouped Data


Direct Method
Arithmetic mean by direct method is the sum of all observations in a series divided by the total number of
observations.
ΣX
X=
N

where, SX = sum of all observations and N = total number of observations.

Example 11

The following data shows the weekly income of 10 families. Calculate the arithmetic mean by direct method and
interpret the result. (3 marks)
Family A B C D E F G H I J
Weekly Income (in `) 850 700 100 750 5,000 80 420 2,500 400 360
Chapter 5 – Measures of Central Tendency

Solution:
Computation of Arithmetic Mean by Direct Method
Family A B C D E F G H I J Total
Weekly Income (X) 850 700 100 750 5,000 80 420 2,500 400 360 11,160

ΣX 11,160
X= = = `1,116
N 10
Interpretation: The average weekly income of a family is `1,116.

Do it yourself 11
The following table shows the daily income of 10 workers in a factory. Calculate the arithmetic mean by using
Direct method: (3 marks)

Workers A B C D E F G H I J
Daily Income (in `) 120 150 180 200 250 300 220 350 370 260

[Ans. `240]

126
Assumed Mean Method
If the number of observations in the data is more and/or figures are large, it is difficult to compute arithmetic
mean by direct method. The computation can be made easier by using assumed mean method. In order to save
time in calculating mean from a data set containing a large number of observations as well as large numerical
figures, you can use assumed mean method, as explained below:
Step 1: Assume a particular figure in the data as the arithmetic mean on the basis of logic/experience.
Let A = assumed mean, X = individual observations and N = total numbers of observations.

Top Tip
Any value, whether existing in the data or not, can be taken as assumed mean. However, in order to simplify the
calculation, centrally located value in the data can be selected as assumed mean.

Step 2: Take deviations of the said assumed mean from each of the observation. Symbolically, d = deviation
of assumed mean from individual observation, i.e. d = X – A
Step 3: Take the summation of these deviations and divide it by the number of observations in the data.
Σd
Symbolically, Sd = S(X – A), then find
N
Step 4: The actual arithmetic mean is estimated by taking the sum of the assumed mean and the ratio of sum
of deviations to number of observations. Symbolically,
Σd
X= A +
N

Example 12

Statistics for Economics XI – by Subhash Dey


The following table gives the daily income of ten workers in a factory. Find the arithmetic mean by Assumed
Mean Method. (NCERT) (3 marks)
Workers A B C D E F G H I J
Daily Income (in `) 120 150 180 200 250 300 220 350 370 260
Solution: Computation of Arithmetic Mean by Assumed Mean Method
Workers Daily Income (`) (X) d = X – 250
A 120 –130
B 150 –100
C 180 –70
D 200 –50
E 250 0
F 300 +50
G 220 –30
H 350 +100
I 370 +120
J 260 +10
N = 10 – 100

X= A +
Σd
N ( )
= 250 + −100 = 250 – 10 = `240
10
Thus, the average daily income of a worker is `240.
127
Do it yourself 12
The following data shows the weekly income of 10 families. Calculate the arithmetic mean by assumed mean
method. (3 marks)

Family A B C D E F G H I J
Weekly Income (in `) 850 700 100 750 5,000 300 420 2,500 400 360

[Ans. `1,116]

Step Deviation Method


The calculations can be further simplified by dividing all the deviations taken from assumed mean by the
common factor ‘c’. The objective is to avoid large numerical figures, i.e., if d = X – A is very large, then find
d′. This can be done as follows: d′ = d = X − A
c c
Σd ′
The formula for calculating mean is: X =A + ×c
N
where: d′ = (X − A) ; c = common factor; N = number of observations; and A = Assumed mean
c

Example 13

The following data shows the weekly income of 10 families. Calculate the arithmetic mean by step deviation
method and interpret the result. (3 marks)
Family A B C D E F G H I J
Chapter 5 – Measures of Central Tendency

Weekly Income (in `) 850 700 100 750 5,000 80 420 2,500 400 360
Solution: Computation of Arithmetic Mean by Step Deviation Method
Families Income (X) d = X – 850 d′ = (X – 850)/10
A 850 0 0
B 700 –150 –15
C 100 –750 –75
D 750 –100 –10
E 5000 +4150 +415
F 80 –770 –77
G 420 –430 –43
H 2500 +1650 +165
I 400 –450 –45
J 360 –490 –49
+266
Σd ′
X =A + × c = 850 + 266 × 10 = 850 + 266 = `1,116.
N 10
Interpretation: The average weekly income of a family is `1,116.

128
Do it yourself 13
The following table shows the daily income of 10 workers in a factory. Calculate the arithmetic mean by using
Step deviation method: (3 marks)

Workers A B C D E F G H I J
Daily Income (in `) 120 150 180 200 250 300 220 350 370 260

[Ans. `240]

Calculation of arithmetic mean for Grouped data


In case of Discrete Series
Direct Method
In case of discrete series, frequency against each observation is multiplied by the value of the observation. The
values, so obtained, are summed up and divided by the total number of frequencies. Symbolically,
ΣfX
X=
Σf

where, SfX = sum of the product of variables and frequencies and Sf = sum of frequencies

Example 14

Plots in a housing colony come in only three sizes: 100 sq. metre, 200 sq. meters and 300 sq. metre and the

Statistics for Economics XI – by Subhash Dey


number of plots are respectively 200, 50 and 10. Calculate the mean plot size in the housing colony by direct
method. (3 marks)
Solution: Computation of Arithmetic Mean by Direct Method
Plot Size in sq. metre (X) No. of Plots (f ) fX
100 200 20,000
200 50 10,000
300 10 3,000
260 33,000
ΣfX 33000
=
X = =126.92
Σf 260
Therefore, the mean plot size in the housing colony is 126.92 sq. metre.

Do it yourself 14
Following is the weekly wage earning of 19 workers. Calculate arithmetic mean by direct method: (3 marks)

Wages 10 20 30 40 50
Frequency 4 5 3 2 5

[Ans. `29.47]

129
Assumed Mean Method
As in case of individual series the calculations can be simplified by using assumed mean method, as described
earlier, with a simple modification.
Step 1: Since frequency (f ) of each item is given here, we multiply each deviation (d) by the frequency to
get fd.
Step 2: Then we get Sfd.
Step 3: The next step is to get the total of all frequencies, i.e. Sf.
Step 4: Finally, the arithmetic mean is calculated by using the following formula:

Σfd
X= A +
Σf

Example 15

Plots in a housing colony come in only three sizes: 100 sq. metre, 200 sq. meters and 300 sq. metre and the
number of plots are respectively 200, 50 and 10. Calculate the mean plot size in the housing colony by assumed
mean method. (3 marks)
Solution: Computation of Arithmetic Mean by Assumed Mean Method
Plot Size in sq. metre (X) No. of Plots (f ) d = X–200 fd
100 200 –100 –20,000
200 50 0 0
300 10 +100 +1,000
260 –19,000

Mean plot size X= A + Σfd = 200 + −19,000 ( ) = 200 – 73.08 = 126.92 sq. metre
Chapter 5 – Measures of Central Tendency

Σf 260

Do it yourself 15

Following is the weekly wage earning of 19 workers. Calculate arithmetic mean by assumed mean method: (3 marks)

Wages 10 20 30 40 50
Frequency 4 5 3 2 5

[Ans. `29.47]

Step Deviation Method


In this case, the deviations are divided by the common factor ‘c’ which simplifies the calculation.

Step 1: We estimate d=′ d= X − A in order to reduce the size of numerical figures for easier calculation.
c c
Step 2: Then get fd′ and Sfd′
Step 3: Calculate the arithmetic mean using the following formula:

Σfd ′
X=A+ ×c
Σf

130
Example 16

Plots in a housing colony come in only three sizes: 100 sq. metre, 200 sq. meters and 300 sq. metre and the
number of plots are respectively 200, 50 and 10. Calculate the mean plot size in the housing colony by step-
deviation method. (3 marks)
Solution: Computation of Arithmetic Mean by Step Deviation Method
Plot Size in sq. metre (X) No. of Plots (f ) d′ = (X–200)/100 fd′
100 200 –1 –200
200 50 0 0
300 10 +1 10
260 –190

Mean plot size X =A+


Σfd ′
× c = 200 +
Σf
−190
( 260 )
× 100 = 200 – 73.08 = 126.92 sq. metre

Do it yourself 16

Following is the weekly wage earning of 19 workers. Calculate arithmetic mean by step deviation method: (3 marks)

Wages 10 20 30 40 50
Frequency 4 5 3 2 5

[Ans. `29.47]

In case of Continuous Series

Statistics for Economics XI – by Subhash Dey


In case of Continuous Series, class intervals are given. The process of calculating arithmetic mean in case of
continuous series is same as that of a discrete series.
The only difference is that the mid-points of various class intervals are taken.

Direct Method
Step 1: Obtain mid values for each class denoted by ‘m’.
Step 2: Obtain Sfm and apply the direct method formula:

Σfm
X=
Σf

Example 17

Calculate average marks of the following students by using direct method: (3 marks)

Marks 0–10 10–20 20–30 0–40 40–50 50–60 60–70

No. of Students 5 12 15 25 8 3 2

131
Solution: Computation of Average Marks for Exclusive Class Interval by Direct Method
Mark (X) No. of students (f ) Mid value (m) fm
(1) (2) (3) (4) = (2) × (3)
0–10 5 5 25
10–20 12 15 180
20–30 15 25 375
30–40 25 35 875
40–50 8 45 360
50–60 3 55 165
60–70 2 65 130
70 2,110
Σfm 2,110
=
X = = 30.14
Σf 70
Therefore, average marks of 70 students is 30.14.

Do it yourself 17

Following are the marks obtained by 100 students in economics. Calculate the average marks by using direct
method: (3 marks)
Marks 0-10 10-20 20-30 30-40 40-50 50-60
No. of students 5 10 25 30 20 10

[Ans. 33]
Chapter 5 – Measures of Central Tendency

Assumed Mean Method


Step 1: Obtain mid values for each class denoted by m.
Step 2: Obtain d = m – A
Step 3: Since frequency (f ) of each item is given here, we multiply each deviation (d) by the frequency to
get fd. Then we get Sfd.
Step 4: The next step is to get the total of all frequencies, i.e. Sf.
Step 5: Finally, the arithmetic mean is calculated by using the following formula:
Σfd
X= A +
Σf

Example 18

Calculate average marks of the following students by using assumed mean method: (3 marks)

Marks 0–10 10–20 20–30 0–40 40–50 50–60 60–70


No. of Students 5 12 15 25 8 3 2

132
Solution: Computation of Average Marks for Exclusive Class Interval by Assumed Mean Method
Mark (X) No. of students (f ) Mid value (m) d= m–35 fd
(1) (2) (3) (4) (5) = (2)×(4)
0–10 5 5 –30 –150
10–20 12 15 –20 –240
20–30 15 25 –10 –150
30–40 25 35 0 0
40–50 8 45 10 80
50–60 3 55 20 60
60–70 2 65 30 60
70 –340

X =A +
Σfd
Σf
=35 +
−340
70 ( )
=35 − 4.86 =30.14

Therefore, Average marks of 70 students is 30.14.

Do it yourself 18

Following are the marks obtained by 100 students in economics. Calculate the average marks by using assumed mean
method: (3 marks)
Marks 0-10 10-20 20-30 30-40 40-50 50-60
No. of students 5 10 25 30 20 10

[Ans. 33]

Statistics for Economics XI – by Subhash Dey


Step deviation method
Step 1: Obtain mid values for each class denoted by m.
Step 2: Obtain d′ = m − A
c
Step 3: We multiply each d′ by the frequency to get fd′. Then we get Sfd′.
Step 4: The next step is to get the total of all frequencies, i.e. Sf.
Step 5: Finally, the arithmetic mean is calculated by using the following formula:

Σfd ′
X=A+ ×c
Σf

Example 19

Calculate average marks of the following students by using step deviation method: (3 marks)

Marks 0–10 10–20 20–30 0–40 40–50 50–60 60–70


No. of Students 5 12 15 25 8 3 2

133
Solution: Computation of Average Marks for Exclusive Class Interval by Step deviation Method
Mark (X) No. of students (f ) Mid value (m) d′ = (m – 35)/10 fd′
(1) (2) (3) (4) (5) = (2)×(4)
0–10 5 5 –3 –15
10–20 12 15 –2 –24
20–30 15 25 –1 –15
30–40 25 35 0 0
40–50 8 45 1 8
50–60 3 55 2 6
60–70 2 65 3 6
70 –34
Σfd ′ ( −34)
Average marks of 70 students, X =A+ × c = 35 + × 10 = 30.14
Σf 70

Do it yourself 19

Following are the marks obtained by 100 students in economics. Calculate the average marks by using step deviation
method: (3 marks)
Marks 0-10 10-20 20-30 30-40 40-50 50-60
No. of students 5 10 25 30 20 10

[Ans. 33]

Arithmetic Mean Formulae at a Glance


Chapter 5 – Measures of Central Tendency

Grouped Data
Ungrouped Data
Discrete Series Continuous Series
Direct Method Direct Method Direct Method
ΣX ΣfX Sfm
X= X= X=
N Σf Sf
Assumed Mean Method where, m = mid values
Assumed Mean Method
Σd Sfd
Assumed Mean Method
X= A + X = A+ Sfd
N Sf X = A+
where, A = assumed mean Sf
Step Deviation Method
Sd = S(X – A) where, d = m – A
Sfd ¢
Step Deviation Method X = A+ ¥c Step deviation method
Sf Sfd ¢
Σd ′ X = A+ ¥c
X =A + ×c Sf
N
where, c = common factor m A
where, ¢
d′ = (X - A)
c
N1 X1 + N 2 X 2 SWX
Combined mean: X12 = Weighted arithmetic mean: X w =
N1 + N 2 SW

134
hfghgfg

Illustrations on arithmetic mean

Illustration 1: Calculate arithmetic mean from the following data: (3)


Marks 0-10 10-30 30-60 60-100
No. of Students 5 12 25 8

Solution: The class intervals are unequal but still to simplify calculations we can take 5 as the common factor (c).
Computation of arithmetic mean by Step Deviation Method
m - 45
Mark (X) No. of students (f) Mid value (m) d¢ = fd′
5
0–10 5 5 –8 –40
10–30 12 20 –5 –60
30–60 25 45 0 0
60–100 8 80 +7 +56
50 – 44

( 50 )
Average marks of 50 students X = A + Σfd′ × c = 45 + −44 × 5 = 45 − 4.4 = 40.6 marks
Σf
Illustration 2: Compute the average marks of all the students of 50 school in a city. (4)

Statistics for Economics XI – by Subhash Dey


Marks obtained Number of schools Average number of students in a school
More than 35 7 200
30-35 10 250
25-30 15 300
20-25 9 200
15-20 5 150
Less than 15 4 100
Solution: First we rewrite the given data in ascending order.
Marks No. of Average No. Total No. of Mid value m - 27.5 fd′
d¢ =
schools of students in students (f) (m) 5
a school
10-15 4 100 400 12.5 –3 –1,200
15-20 5 150 750 17.5 –2 –1,500
20-25 9 200 1,800 22.5 –1 –1,800
25-30 15 300 4,500 27.5 0 0
30-35 10 250 2,500 32.5 +1 +2,500
35-40 7 200 1,400 37.5 +2 +2,800
11,350 + 800

135
Σfd ′
c 27.5 + 
800 
X= A + ×=  ×=
5 27.5 + 0.35
= 27.85 marks
Σf  11,350 
Therefore, average marks of all the students of 50 schools in the city is 27.85.
Illustration 3: Find the class intervals if the arithmetic mean of the following distribution is 33 and
assumed mean is 35: (4)
Step deviations (d′) –3 –2 –1 0 +1 +2
Frequencies (f) 5 10 25 30 20 10

Solution: Since all the step deviations show equal gap, class interval is equal.
Step deviations (d′) Frequencies (f) fd′
–3 5 –15
–2 10 –20
–1 25 –25
0 30 0
+1 20 +20
+2 10 +20
100 –20

Σfd ′
X=A+ ×c
N
Substituting the values A = 35, X = 33, N = 100, Sfd′ = – 20, we get 33 =+
35
−20
100
×c ( )
⇒ – 0.2c = 33 – 35 = –2  ⇒ c = 10. Thus, the class size is 10.
Chapter 5 – Measures of Central Tendency

Assumed mean lies in the mid value of the class having 0 as step deviation. The lower and upper limits of
10
this class are: 35 − 10 =
30 and 35 + = 40 , i.e. 30-40.
2 2
Therefore, the class intervals are: 0-10, 10-20, 20-30, 30-40, 40-50 and 50-60
Illustration 4: Calculate the missing value of X when the arithmetic mean is 115.86: (4)
Wages (in `) X 110 112 113 117 ? 125
No. of workers f 25 17 13 15 14 8

Solution: Let the missing value be ‘x’.


Wages (in `) X No. of workers f fX
110 25 2,750
112 17 1,904
113 13 1,469
117 15 1,755
x 14 14x
125 8 1,000
128 6 768
130 2 260
100 9,906 + 14x

136
ΣfX
X =
Σf
9,906 + 14x
115.86 =   ⇒ 9,906 + 14x = 11,586 
100
⇒ 14x = 1,680 
⇒  x = 120
Hence, the missing value is 120.
Illustration 5: Find the missing frequency from the following data: (4)
Marks 0-10 10-20 20-30 30-40 40-50 50-60
No. of students 5 15 20 ? 20 10

Solution: Let the missing frequency be x.


Marks No. of students f Mid point m fm
0-10 5 5 25
10-20 15 15 225
20-30 20 25 500
30-40 x 35 35x
40-50 20 45 900
50-60 10 55 550
70 + x 2,200 + 35x

Σfm
X=
Σf

Statistics for Economics XI – by Subhash Dey


2,200 + 35x
34 = ⇒ 2,200 + 35x = 2,380 + 34x
70 + x
⇒ 35x – 34x = 2,380 – 2,200 ⇒ x = 180
Hence, the missing frequency is 180.
Illustration 6: Following information pertains to the daily income of 150 families. Calculate the
arithmetic mean. (NCERT) (4)

Income (in `) Number of families


More than 75 150
More than 85 140
More than 95 115
More than 105 95
More than 115 70
More than 125 60
More than 135 40
More than 145 25
Solution: Since cumulative frequencies are given, we first find the frequencies for calculating the arithmetic
mean.

137
Calculation of arithmetic mean by step deviation method
m - 110
Income (in `) No. of families (f) Mid point (m) d¢ = fd′
10
75-85 150–140 = 10 80 –3 –30
85-95 140–115 = 25 90 –2 –50
95-105 115–95 = 20 100 –1 –20
105-115 95–70 = 25 110 0 0
115-125 70–60 = 10 120 +1 +10
125-135 60–40 = 20 130 +2 +40
135-145 40–25 = 15 140 +3 +45
145-155 25 150 +4 +100
150 +95


(150 )
Average daily income of a family, X= A + Σfd × c= 110 + 95 × 10= 110 + 6.33= 116.33
Σf
Illustration 7: From the following data calculate the average profit earned by a company. (4)
Profit (` in crore) No. of Companies
Less than 20 5
Less than 30 22
Less than 40 48
Less than 50 60
Less than 60 83
Less than 70 100
Chapter 5 – Measures of Central Tendency

Solution: Since the cumulative frequencies are given, we first find the frequencies to calculate the arithmetic
mean.
m - 45
Profit (`in crore) No. of Companies (f) Mid-point (m) d¢ = fd′
10
10-20 5 15 –3 –15
20-30 22–5 =17 25 –2 –34
30-40 48 – 22 = 26 35 –1 –26
40-50 60 – 48 =12 45 0 0
50-60 83 – 60 = 23 55 +1 +23
60-70 100 – 83 = 17 65 +2 +34
100 –18

X= A+
Σfd ′
Σf ( )
× c = 45 +
−18
100
× 10 = 45 − 1.8 = 43.2

Therefore, average profit earned by a company is `43.2 crore.


Illustration 8: Find the arithmetic mean of the following data: (3)
Class 50-59 40-49 30-39 20-29 10-19 0-9
Frequency 1 3 8 10 15 3

138
Solution: This is an inclusive class interval series and the data are arranged in descending order. For calculating
arithmetic mean, we need not convert the data into exclusive class interval series because the mid points will be
the same. Nor we need to rearrange the data in ascending order because arithmetic mean is not affected by it.
m - 24.5
Class Frequency (f) Mid point (m) d¢ = fd′
10
50-59 1 54.5 +3 3
40-49 3 44.5 +2 6
30-39 8 34.5 +1 8
20-29 10 24.5 0 0
10-19 15 14.5 –1 – 15
0-9 3 4.5 –2 – 6
40 – 4

= A+
X
Σfd ′
Σf
×=
c 24.5 + ( )
−4
40
× 10
= 24.5 −=
1 23.5

Therefore, the arithmetic mean of the data is 23.5.


Illustration 9: An examination was held to decide the award of a scholarship. The weights given to
various subjects were different. Only three applicants for the scholarship obtained over 50%marks in
each subject. The marks were as follows: (6)
Subject Weight Marks of A Marks of B Marks of C
Statistics 4 63 60 65
Accountancy 3 65 64 70

Statistics for Economics XI – by Subhash Dey


Economics 2 58 56 63
Business Studies 1 70 80 52
Of the candidate getting the highest marks is to be awarded the scholarship, who should get it?
Solution:
Weight Marks of A Marks of B Marks of C
Subject
W X1 WX1 X2 WX2 X3 WX3
Statistics 4 63 252 60 240 65 260
Accountancy 3 65 195 64 192 70 210
Economics 2 58 116 56 112 63 126
Business Studies 1 70 70 80 80 52 52
Total SW = 10 SWX1 = 633 SWX2 = 624 SWX3 = 648

ΣWX1
Weighted Mean of A, Xw1 = =  633/10 = 63.3 Marks
ΣW
ΣWX 2
Weighted mean of B, Xw 2 = =  624/10 = 62.4 Marks
ΣW
ΣWX 3
Weighted mean of C, Xw 3 = =  64.8 Marks
ΣW
The weighted mean of C is the highest, hence he is entitled for scholarship.
139
Illustration 10: Calculate the value of weighted mean from the given details of a college: (4)
Course Students Appeared Students Passed
B.Com (H) 200 180
B.Com (P) 400 320
B.A. 700 490
M.Com 300 150
Solution:
Percentage Pass (X)
Course Appeared (W) Passed Passed WX
× 100
Appeared

B.Com (H) 200 180 90 18,000


B.Com (P) 400 320 80 32,000
B.A. 700 490 70 49,000
M.Com 300 150 50 15,000
SW=1,600 SWX = 1,14,000
ΣWX 1,14,000
X w == = 71.25
ΣW 1,600

Illustration 11: Given that the mean height of a group of students is 67.45 inches. Find the missing
frequencies for the following data: (6)
Height (in inches) 60-62 63-65 66-68 69-71 72-74 Total
No. of students 5 18 ? ? 8 100
Chapter 5 – Measures of Central Tendency

Solution: Let the missing frequencies be X and Y respectively.


Height (in inches) No. of students (f) Mid point (m) d′ = (m – 67)/3 fd′
60-62 5 61 –2 –10
63-65 18 64 –1 –18
66-68 X 67 (A) 0 0
69-71 Y 70 +1 Y
72-74 8 73 +2 +16
Total 31 + X + Y = 100 –12 + Y

31 + X + Y = 100 ⇒ X + Y = 69 ................................ (1)


Sfd ¢  −12 + Y 
X = A+ ¥ c ⇒ 67.45  = 67 +  × 3
Sf  100 

⇒ (–12 + Y) × 3 = 45 ⇒ Y = 27
Substituting Y = 27 in (1), we get X + 27 = 69
⇒ X = 42
Thus, the missing frequencies are 42 and 27 respectively.

140
Practice Questions on Arithmetic Mean
Question 1: Calculate arithmetic mean from the following data. (1 mark)
Mid-value 5 10 15 20 25 30 35 40
No. of students 5 7 9 10 8 6 3 2
Question 2: Using step deviation method, find out the arithmetic mean of the following data: (4 marks)
Marks Less than 10 Less than 20 Less than 30 Less than 40 Less than 50 Less than 60
Frequency 5 12 25 36 45 50
Question 3: Following information pertains to the daily income of 150 family. Calculate the arithmetic mean: (4 marks)
Income (`) No. of students
More than 75 150
More than 85 140
More than 95 115
More than 105 95
More than 125 70
More than 135 60
More than 145 40
Question 4: Calculate the arithmetic mean of the following data using step deviation method: (3 marks)
Size 20-29 30-39 40-49 50-59 60-69
Frequency 10 8 6 4 2
Question 5: Find out the missing item P of the following distribution where arithmetic mean is 11.37: (4 marks)

Statistics for Economics XI – by Subhash Dey


X 5 7 P 11 13 16 20 40
f 2 4 29 54 11 8 4 2
Question 6: If the arithmetic mean of the data given below is 28 find out the missing frequency: (4 marks)
X 0-10 10-20 20-30 30-40 40-50 50-60
f 12 18 27 ? 17 6
Question 7: The following distribution of weight (in lbs) of 60 students of a class. Find the missing frequencies X and
Y if the arithmetic mean is 111. (6 marks)
Weight No. of students
93-97 2
98-102 5
103-107 X
108-112 Y
113-117 14
118-122 6
123-127 3
128-132 1
Total 60

141
Question 8: Calculate the weighted mean of the following data: (3 marks)
Items 10 15 20 25 30 35
Weight 6 9 4 10 5 2

Question 9: A candidate obtained the following percentage of marks in different subjects in an examination: (3 marks)

Subject Marks
English 70
Maths 85
Economics 90
Business Study 80
Accounts 95
Find the weighted mean if weights of the subjects are 2, 1, 2, 3, 4 respectively.
Question 10: Find arithmetic mean from the following data using Step-deviation method: (4 marks)
Temperature (oC) –40 to –30 –30 to –20 –20 to –10 –10 to 0 0 to 10 10 to 20 20 to 30
No. of days 10 28 30 42 65 180 10

Question 11: If the arithmetic mean of the data given below is 30, find out the missing frequency: (4 marks)
Class Interval 0-10 10-20 20-30 30-40 40-50
Frequency 5 10 40 ? 25
Question 12: Find out the missing frequency, if the arithmetic mean of the following data is 29. (4 marks)
X 5 15 25 35 45 55
f 5 7 ? 18 5 3
Chapter 5 – Measures of Central Tendency

Question 13: Locate the missing frequency, if the arithmetic mean of the series is 44.8. (4 marks)
X 20 30 40 50 60 70
f 5 ? 15 10 8 5
Question 14: In the following frequency distribution, the frequency of the class interval 50-60 is not known. Find
the missing frequency, if the arithmetic mean of the distribution is 52. (4 marks)
Class-Interval 10-20 20-30 30-40 40-50 50-60 60-70 70-80
No. of Students 5 3 4 7 ? 6 13
Question 15: Find the missing frequency from the following data, if average marks are 17: (4 marks)

Class-Interval 0-5 5-10 10-15 15-20 20-25 25-30 30-35


Frequency 10 12 16 ? 14 10 8

ANSWERS
1. 19.5 2. 30.4 3. `16.33 4. 37.83 5. P = 10
6. 20 7. X = 11, Y = 18 8. 20.69 9. 85.42 10. 4.287
11. 20 12. 12 13. 7 14. 2 15. 50

142
5.2 Median
Median is that positional value of the variable which divides the distribution into two equal parts, one part
comprises all values greater than or equal to the median value and the other comprises all values less than or
equal to it.
The Median is the “middle”element when the data set is arranged in order of the magnitude.
Suppose we have the following observation in a data set:
5, 7, 6, 1, 8,10, 12, 4, and 3.
Arranging the data, in ascending order we have:
1, 3, 4, 5,    6,    7, 8, 10, 12
The “middle score” is 6, so the median is 6.
Half of the scores are larger than 6 and half of the scores are smaller.

Top Tip

Statistics for Economics XI – by Subhash Dey


Since the median is determined by the position of different values, it remains unaffected if, say, the size of the largest
value increases. For example, in the above data if 12 is replaced by 20, the value of median is unaffected. The median will
be 6 itself.

Median for Ungrouped Data


When the number of observations is an odd number
The median can be easily computed by arranging the data in ascending order (from smallest to largest) and
finding out the middle value.
In order to calculate median it is important to know the position of the median i.e. item/items at which the
median lies. The position of the median can be calculated by the following formula:

th
Position of median = (N + 1) item
2
where N = number of items
The above formula gives the position of the median in an ordered array, not the median itself. Median is
computed by the formula:

( )
th
N +1
Median = size of item
2

143
Example 20

From the following data of the wages of 7 workers, compute the median wage and interpret the result: (3 marks)

Wages (in `) 1,100 1,150 1,080 1,120 1,200 1,160 1,400

Solution:

Wages (in `) 1,080 1,100 1,120 1,150 1,160 1,200 1,400

(2) (2)
th th
N +1 7 +1
Median = size of = item size of = =
item 4th item 1,150

Therefore, the median wage is `1,150.


Interpretation: 3 persons get a wage less than `1,150 and 3 persons get more than `1,150.

Do it yourself 20

Find median of the following observations: 20, 15, 25, 28, 18, 16, 30 (1 mark)
[Ans. 20]

When the number of observations is an even number


If there are even numbers in the data, there will be two observations which fall in the middle. The median
in this case is computed as the arithmetic mean of the two middle values. However, the same formula for
calculating median shall apply.
Chapter 5 – Measures of Central Tendency

( )
th
N +1
Median = size of item
2

Example 21

The following data provides marks of 20 students. Calculate median marks and interpret the result: (3 marks)
25, 72, 28, 65, 29, 60, 30, 54, 32, 53, 33, 52, 35, 51, 42, 48, 45, 47, 46, 33
Solution: Arranging the data in an ascending order, we get
25, 28, 29, 30, 32, 33, 33, 35, 42, 45, 46, 47, 48, 51, 52, 53, 54, 60, 65, 72

(2) ( )
th th
N +1 20 + 1
N = 20. Median = size of item = size of item   = size of 10.5th item
2

th 10th item + 11th item 45 + 46


Size of 10.5 item = = = 45.5
2 2

Therefore, Median = 45.5 marks


Interpretation: Half of the students (i.e. 10 students) got less than 45.5 marks and the remaining half of
the students got more than 45.5 marks.
144
Do it yourself 21

Find median of the following data: 220, 230, 236, 245, 250, 265 (1 mark)
[Ans. 240.5]

Median for Grouped Data


In case of Discrete series

(2)
th
In case of discrete series, the position of median, i.e. N + 1 item can be located through cumulative frequency.

The corresponding value at this position is the value of median.

Steps for calculating median — Discrete series


Step 1: Arrange the data in ascending or descending order.
Step 2: Find out the cumulative frequencies.

(2)
th
Step 3: Median = size of N + 1 items , where N = Sf

Step 4: The value whose cumulative frequency is equal to N + 1 or next higher to that, is the median value.
2

Example 22

The frequency distribution of the number of persons and their respective incomes (in `) are given below.
Calculate the median income. Also, interpret the result. (3 marks)

Statistics for Economics XI – by Subhash Dey


Income (in `) 100 200 300 400
Number of persons 2 4 10 4

Solution: In order to calculate the median income, we calculate the cumulative frequencies.
Computation of Median for Discrete Series
Income (in `) No. of persons (f ) Cumulative frequency (c.f.)
100 2 2
200 4 6
300 10 16
400 4 20
N = Sf = 20

The median is located in the N + 1 = 20 + 1 = 10.5th observation.


2 2
This can be easily located through cumulative frequency.
The 10.5th observation lies in the c.f. of 16.
The income corresponding to this is `300, so the median income is `300.
Interpretation: Half the total number of persons (i.e., 10 persons) have incomes less than `300 and the
remaining half have incomes more than `300.

145
Do it yourself 22

Calculate median of the following distribution: (3 marks)

Variable (X) 10 11 12 13 14 15 16
Frequency (f ) 8 15 25 20 12 10 5

[Ans. 12]

In case of Continuous series

(2)
th
In case of continuous series, we have to locate the median class where N item lies.

The median can then be obtained by using the following formula:

Median = L+
( N
2
− c.f .)
×h
f
where,
L = lower limit of the median class c.f. = cumulative frequency of the class preceding the median class
f = frequency of the median class h = magnitude of the median class interval

Top Tips
() ( )
th th
N N+1
1. In case of continuous series, we have to locate the median class where item [not item] lies.
2 2
2. For calculation of median of grouped data in case of continuous series, no adjustment is required if frequency is of
Chapter 5 – Measures of Central Tendency

unequal size or magnitude.

Example 23

Following data relates to daily wages (in `) of persons working in a factory. Compute the median daily wage. (3 marks)
Daily wages 550–600 500–550 450–500 400–450 350–400 300–350 250–300 200–250
No. of workers 7 13 15 20 30 33 28 14

Solution: We rearrange the data in ascending order and calculate cumulative frequencies.
Computation of Median for Continuous Series
Daily wages (in `) No. of Workers (f ) Cumulative Frequency
200–250 14 14
250–300 28 42
300–350 33 75
350–400 30 105
400–450 20 125
450–500 15 140
500–550 13 153
550–600 7 160

146
(2) ( )
th th
N 160
Median class is the value of = item = item 80th item of the series, which lies in 350–400 class interval.
2

Median = L+
( N
2
− c.f .)
× h = 200 +
(190 − 129)
×(300 − 200) = 200 +
61
× 100 = 200 + 41.22 = 241.22
f 148 148

Interpretation: The median daily wage is `358.33. This means that 50% of the workers are getting less
than or equal to `358.33 and 50% of the workers are getting more than or equal to this wage.

Do it yourself 23

Calculate the median from the following series: (3 marks)

Marks 10-20 20-30 30-40 40-50 50-60 60-70


Frequency 5 15 5 20 10 5

[Ans. 42.5]

Median, as a measure of central tendency, is not sensitive to all the values in the series. It concentrates on the values
of the central items of the data.

Median Formulae at a Glance

Statistics for Economics XI – by Subhash Dey


Grouped Data
Ungrouped Data
Discrete Series Continuous Series

( ) ( ) ( )
th th th
N +1 N +1 N
Median = size of item Median = size of item Locate median class where item lies.
2 2 2
where N = number of items where N = Sf
The position of median can Median = L +
N
2 (
- c.f .
¥h
)
be located through cumulative f
frequency. where,
L = lower limit of the median class
c.f. = cumulative frequency of preceding class
f = frequency of the median class
h = magnitude of the median class

147
hfghgfg

Illustrations on mEDIAN

Illustration 1: The size of land holdings of 380 families in a village is given below. Find the median
size of land holdings. Also interpret the result. (NCERT) (4)
Size of Land Holdings (in acres) Number of families
Less than 100 40
100-200 89
200-300 148
300-400 64
400 and above 39
Solution:
Size of Land Holdings (in acres) Number of families (f) Cumulative Frequency
0-100 40 40
100-200 89 129
200-300 148 277
300-400 64 341
400–500 39 380
th th
N 380
Median class is the value of ËÊ ¯ˆ item = ËÊ ¯ˆ item = 190th item of the series, which lies in 200–300 class interval.
2 2
Chapter 5 – Measures of Central Tendency

Median = L +
( N
2
− c.f .)
× h = 200 +
(190 - 129)
¥ (300 - 200) = 200 +
61
¥ 100 = 200 + 41.22 = 241.22
f 148 148

Interpretation: The median size of land holdings is 241.22 acres. This means that 50% of the families have
land holdings of size less than or equal to 241.22 acres and 50% of the remaining families have land holdings
of size more than or equal to 241.22 acres.
Illustration 2: The following series relates to the daily income of workers employed in a firm. Compute
the highest income of lowest 50% workers. Also interpret the result. (4)
Daily Income (in `) 100-140 150-190 200-240 250-290 300-340 350-390
Number of workers 5 10 15 20 10 5

Solution:
The highest income of lowest 50% workers means the ‘median’ value. Median is that positional value of the
variable which divides the distribution into two equal parts, one part comprises all values greater than or equal
to the median value and the other comprises all values less than or equal to it.
To calculate median, the given inclusive class interval series will first be converted into an exclusive class
interval series. 150-140 = 10. So 10/2 = 5. We subtract 5 from the lower limits of each class and add 5 to
the upper limits of each class.
We also calculate the cumulative frequencies.

148
Daily Income (in `) Number of workers (f) Cumulative Frequency
95 -145 5 5
145-195 10 15
195-245 15 30
245-295 20 50
295-345 10 60
345-395 5 65
Total 65

( ) ( )
th th
N 65
Median class is the value of = item = item 32.5th item of the series, which lies in 245-295 class
2 2
interval.

Median = L+
( N
2
− c.f .)
× h = 245 +
(32.5 − 30)
×(295 − 245) = 245 +
2.5
× 50 = 245 + 6.25 = 251.25
f 20 20

The median daily income is `251 (approximately).


Illustration 3: Calculate the median from the following data. Also interpret the result. (4)
Weight (in gms.) No. of Apples
410-419 14
420-429 20
430-439 42
440-449 54
450-459 45
460-469 18

Statistics for Economics XI – by Subhash Dey


470-479 7

Solution: Since it is an inclusive series, we should convert it into an exclusive series. 420 – 419 = 1. So 1/2
= 0.5. We subtract 0.5 from the lower limits and add 0.5 to the upper limits.
Weight (in gms.) No. of Apples Cumulative frequency
409.5-419.5 14 14
419.5-429.5 20 34
429.5-439.5 42 76
439.5-449.5 54 130
449.5-459.5 45 175
459.5-469.5 18 193
469.5-479.5 7 200
N = 200

(2) ( )
th th
N 200
Median class is the value of = item = item 100th items  of the series, which lies in 439.5-449.5 class interval.
2

Median = L +
( N
2
− c.f .)
× h = 439.5 +
(100 − 76 )
× 10
= 439.5 + 4.44
= 443.94
f 54

Interpretation: The median weight of an apple is 443.94 gms. This means that 50% of the apples have weight of less
than or equal to 443.94 gms and 50% of the remaining apples have weight of more than or equal to 443.94 gms.
149
Illustration 4: From the following data calculate median: Also interpret the result. (4)
Marks No. of Students
Less than 5 29
Less than 10 224
Less than 15 465
Less than 20 582
Less than 25 634
Less than 30 644
Less than 35 650
Less than 40 653
Less than 45 655

Solution: Since cumulative frequencies are given, we first find frequencies and then calculate median.
Marks No. of Students Cumulative frequency
0-5 29 29
5-10 195 224
10-15 241 465
15-20 117 582
20-25 52 634
25-30 10 644
30-35 6 650
35-40 3 653
40-45 2 655
N = 655
Chapter 5 – Measures of Central Tendency

(2) (=2 )
th th
N 655
Median class is the value of = item item 327.5th item of the series, which lies in 10-15 class interval.

edian = L +
M
( N
2
− c.f .)
× h = 10 +
( 327.5 − 224 )
× 10 = 10 + 4.29 = 14.29
f 241

Interpretation: The median marks of a student is 14.29. This means that 50% of the students got marks less
than or equal to 14.29 and 50% of the remaining students got marks more than or equal to 14.29.
Illustration 5: Compute median from the following data. Also interpret the result. (4)
Mid value Frequency
115 6
125 25
135 48
145 72
155 116
165 60
175 38
185 22
195 3
150
Solution: Since we are given the mid values, we should find out the upper and lower limits of the various classes.
Class Frequency Cumulative frequency
110-120 6 6
120-130 25 31
130-140 48 79
140-150 72 151
150-160 116 267
160-170 60 327
170-180 38 365
180-190 22 387
190-200 3 390
N = 390

(2) ( )
th th
N 390
Median class is the value of = item = item 195th item of the series, which lies in 150-160 class interval.
2

edian = L +
M
( N
2
− c.f .)
× h = 150 +
(195 − 151)
× 10 = 150 + 3.79 = 153.79
f 116
Interpretation: The median value is 153.79. This means that half of the items are less than or equal to 153.79
and the remaining items are more than or equal to 153.79.
Illustration 6: From the following distribution, (a) Draw ‘less than’ ogive and obtain median
graphically. (b) Calculate median using formula. Also interpret the result. (6)
Monthly Income (`in thousand) No. of Employees

Statistics for Economics XI – by Subhash Dey


10-20 6
20-30 10
30-40 11
40-50 9
50-60 8
60-70 6

Solution:
Frequency distribution Less than cumulative frequency distribution
Monthly Income Number of employees Monthly Income (` ‘Less than’ cumulative
(` thousand) (frequency) thousand) frequency
10-20 6 Less than 20 6
20-30 10 Less than 30 16
30-40 11 Less than 40 27
40-50 9 Less than 50 36
50-60 8 Less than 60 44
60-70 6 Less than 70 50
Total 50

151
55 ‘Less than’ Ogive
50

No. of Employees
45
40
35
30
25
20
15
10
5
Median = 38.18
0
10 20 30 40 50 60 70 80
Monthly Income (` thousand)

‘Less than’ ogive and the median

(2) ( )
th th
N 50
Median class is the value of = item = item 25th item of the series, which lies in 30-40 class interval.
2

edian = L +
M
( N
2
− c.f .)
× h = 30 +
( 25 − 16 )
× 10 = 30 + 8.18 = 38.18
f 11
Interpretation: The median monthly income of an employee is `38.18 thousand. This means that 50% of
the employees earn a monthly income of less than or equal to `38.18 thousand and 50% of the remaining
employees have monthly income of more than or equal to `38.18 thousand.
Chapter 5 – Measures of Central Tendency

llustration 7: Find the missing frequency of the group 20-30, if it is given that the value of the
median is 28. (4)
Class Intervals 0-10 10-20 20-30 30-40 40-50
Frequency 5 8 ? 16 6
Solution: Let the missing frequency be X.
Class Intervals Frequency Cumulative frequency
0-10 5 5
10-20 8 13
20-30 X 13 + X
30-40 16 29 + X
40-50 6 35 + X
Since median = 28, it lies in the class 20-30

Median = L +
( N
2
− c.f .)
 35 + X

× h ⇒ 28 = 20 + 
2

− 13 
 × 10 ⇒ 8X = 35 + X − 26
f X 10 2
8X
⇒ =9 + X ⇒ 8X =45 + 5X ⇒ 3X =45 ⇒ X =15
5
Thus, the missing frequency is 15.
152
Illustration 8: Find the missing frequencies in the following distribution if total number of students
is 100 and the value of median marks is 30. (6)
Marks 0-10 10-20 20-30 30-40 40-50 50-60
No. of Students 10 ? 25 30 ? 10
Solution: Let the missing frequencies of the class 10-20 and 40-50 be denoted by X and Y respectively.
Marks Frequency Cumulative frequency
0-10 10 10
10-20 X 10 + X
20-30 25 35 + X
30-40 30 65 + X
40-50 Y 65 +X +Y
50-60 10 75 +X +Y
N = Sf = 100
75 + X + Y = 100 ⇒ X + Y = 25 ...............(1)
Since Median = 30, Median class is 30-40.

Median = L +
( N
2
− c.f .) 50 − ( 35 + X ) 
× h ⇒ 30 = 30 +  × 10 ⇒ 0 = 15 − X ⇒ X = 15
f 30
Substituting X = 15 in equation (1), we get 15 + Y = 25. Therefore, Y = 10
Thus, the missing frequencies are 15 and 10 respectively.
Illustration 9: The following table gives the distribution of monthly salary of 900 employees. However,
the frequencies of the classes 40-50 and 60-70 are missing. If the median of the distribution is `59,250,

Statistics for Economics XI – by Subhash Dey


find the missing frequencies. (6)
Salaries ( in ‘000) 30-40 40-50 50-60 60-70 70-80
No. of Employees 120 ? 200 ? 185
Solution: Let the missing frequencies of the class 40-50 and 60-70 be denoted by X and Y respectively.
Salaries ( in ‘000) No. of Employees Cumulative frequency
30-40 120 120
40-50 X 120 + X
50-60 200 320 + X
60-70 Y 320 + X + Y
70-80 185 505 + X + Y
N = Sf = 900
505 + X + Y = 900 ⇒ X + Y = 395 ...............(1)
Since Median = 59.25 thousand, Median class is 50-60.

Median = L +
( N
2
− c.f .)  450 − (120 + X ) 
× h ⇒ 59.25 = 50 +  × 10 ⇒ 185 = 330 − X ⇒ X = 145
f 200
Substituting X = 145 in equation (1), we get 145 + Y = 395. Therefore, Y = 250
Thus, the missing frequencies are 145 and 250 respectively.
153
Practice Questions on Median
Question 1: Find out the median of the data given below by arranging them in ascending order: (3 marks)
Values 160 150 152 161 156
Frequencies 5 8 6 3 7

Question 2: Calculate the median of the following distribution of data: (3 marks)


Class-Interval 0-10 10-20 20-30 30-40 40-50
Frequency 5 15 30 8 2

(4 marks)
Question 3: Calculate median of the following data:
Marks 11-15 16-20 21-25 26-30 31-35 36-40 41-45 46-50
No. of students 7 10 13 26 35 22 11 5

Question 4: Calculate the median of the following distribution: (4 marks)

Class Intervals 350-369 370-389 390-409 410-429 430-449 450-469 470-489


Frequencies 23 38 58 82 65 31 11

Question 5: Compute the median for the following data:


(4 marks)

Values Less than 10 Less than 20 Less than 30 Less than 40 Less than 50
Frequencies 11 18 34 16 3
Chapter 5 – Measures of Central Tendency

Question 6: Calculate median from the following data:


(4 marks)

Marks More than 0 More than 10 More than 20 More than 30 More than 40 More than 50
No. of students 50 42 38 28 16 3

Question 7: Find the missing frequency, if it is given that the value of the median marks is 23. (4 marks)

Marks 0-10 10-20 20-30 30-40 40-50


No. of students 5 8 ? 6 3

Question 8: An incomplete distribution is given: (6 marks)


Marks 10-20 20-30 30-40 40-50 50-60 60-70 70-80 Total
No. of students 24 60 ? 130 ? 50 36 458
You are given that the median value is 47. Using the median formula, find the missing frequencies.

ANSWERS
1. 156 2. 40 3. 32.57 4. 418.04
5. 27.5 6. 32.5 7. 10 8. 54 and 104

154
5.3 Mode
The most typical value of a series or the value around which maximum concentration of items occurs is
called the mode of the series.
For example, a manufacturer would like to know the size of shoes that has maximum demand or style of the
shirt that is more frequently demanded. Here, Mode is the most appropriate measure.

The word mode has been derived from the French word “la Mode” which signifies the most fashionable values
of a distribution, because it is repeated the highest number of times in the series.

Statistics for Economics XI – by Subhash Dey


Mode is the most frequently observed data value. It is denoted by Mo.
Consider the data set 1, 2, 3, 4, 4, 5.
The mode for this data is 4 because 4 occurs most frequently (twice) in the data.

In case of Ungrouped Data


The value which occurs maximum number of times is the modal value.

Example 24

Calculate the mode from the following data of the marks obtained by 10 students: (1 mark)
10, 27, 24, 12, 27, 27, 20, 18, 15, 30
Solution: Since the value 27 occurs the maximum number of times (thrice), therefore the modal marks = 27

Do it yourself 24

Age of 15 students of a class is reported below. Find the modal age. (1 mark)
22, 24, 17, 18, 17, 19, 18, 21, 20, 21, 20, 23, 22, 22, 22
[Ans. 22]

155
In case of Grouped Data
Discrete series
In a discrete series, quite often mode can be determined just by inspection, i.e., by looking to that value of
the variable which has the highest frequency. In other words, mode is that value which occurs the maximum
number of times.

Example 25

Calculate the mode from the following data: (1 mark)


Variable 10 20 30 40 50
Frequency 2 8 20 10 5
Solution: Since the maximum frequency is 20, the value of mode is 30.

Do it yourself 25

Calculate mode from the given data: (3 marks)

Size 30 35 40 45 50 55
Frequency 5 9 14 10 6 4

[Ans. 40]

Top Tip
Mode is not necessarily unique, unlike Arithmetic Mean and Median.
Chapter 5 – Measures of Central Tendency

In example 25, as there is a unique value of mode, the data is unimodal. But, the mode is not necessarily unique, unlike
arithmetic mean and median.
• It may be possible to have data with two modes (called bi-modal data).
• The data may also have more than two modes (called multi-modal data).
• It may be possible that there may be no mode if no value appears more frequent than any other value in the
distribution. For example, in a series 1, 1, 2, 2, 3, 3, 4, 4, there is no mode.

Grouping Method
Under this method, grouping of the data is done by preparing a Grouping Table consisting of 6 columns,
in addition to a column for the values of the variable.
 In column I, the highest frequency is marked or put in a circle.
 In column II, frequencies are grouped in two’s. Find out their total and mark the highest total or put
it in a circle.
 In column III, leave the first frequency and then group the remaining in two’s. Find out their total
and mark the highest total or put it in a circle.
 In column IV, frequencies are grouped in three’s. Find out their total and mark the highest total or
put it in a circle.
 In column V, leave the first frequency and then group the remaining in three’s. Find out their total
and mark the highest total or put it in a circle.
 In column VI, leave the first two frequencies and then group the remaining in three’s. Find out their
total and mark the highest total or put it in a circle.

156
The highest frequency total in each of the six columns is identified and analysed in the Analysis Table, to
determine mode.

Example 26

Calculate the value of mode for the following data by grouping method: (6 marks)
Value 8 9 10 11 12 13 14 15
Frequency 5 6 8 7 9 8 9 6

Solution:
The values 12 and 14 have the highest frequency of 9. So, value of mode will be calculated by grouping method.
Grouping Table
Value Frequency I II III IV V VI
8 5
11
9 6 19
14
10 8 21
15
11 7 24
16
12 9 24
17
13 8 26
17
14 9 23
15
15 6

Analysis Table
Value containing maximum frequency in each column

Statistics for Economics XI – by Subhash Dey


Column
8 9 10 11 12 13 14 15
I  
II  
III  
IV   
V   
VI   
Total – – 1 2 5 4 3 –

The value 12 occurs maximum number of times (5 times). Therefore, the value of mode is 12.

Do it yourself 26

Given the following data, calculate mode using the grouping technique. (6 marks)

Size 2 3 4 5 6 7 8 9 10 11 12
Frequency 3 8 10 12 16 14 10 8 17 5 4

[Ans. 6]

157
Continuous series
In case of continuous frequency distribution, modal class is the class with largest frequency. Mode can be
calculated by using the formula:
D1
Mo =
L+ ×h
D1 + D2

where,
L = lower limit of the modal class
D1 = difference between the frequency of the modal class and the frequency of the class preceding
the modal class (ignoring signs).
D2 = difference between the frequency of the modal class and the frequency of the class succeeding
the modal class (ignoring signs).
h = class width of the distribution.

Note
Conditions for calculating Mode in case of continuous series
• Class intervals must be of equal width.
• Series must be an exclusive series.
• If mid-points are given, class intervals must be obtained.
• If cumulative frequency distribution (‘less than’ or ‘more than’) is given, it must be converted into a simple frequency
distribution.

Example 27
Chapter 5 – Measures of Central Tendency

Calculate the mode from the following data and interpret the result: (3 marks)
Class Interval 0-5 5-10 10-15 15-20 20-25
Frequency 7 18 25 30 20
Solution:
By inspection the modal class is 15-20 since it has the largest frequency of 30.
Now L = 15, D1 = 30 – 25 = 5, D2 = 30 – 20 = 10, h = 5
D1 5
Mo =
L+ × h = 15 + × 5 = 15 + 1.67 = 16.67
D1 + D2 5 + 10

Thus, mode = 16.67


Interpretation: Most of the values of the variable is 16.67 on an average.

Do it yourself 27

Calculate mode from the given data: (3 marks)

Class Interval 0-10 10-20 20-30 30-40 40-50


Frequency 2 5 7 5 2

[Ans. 25]

158
Example 28

Calculate modal worker family’s monthly income from the following data. Also interpret the result. (4 marks)
Less than cumulative frequency distribution of income per month (in ` thousand)
Income per month (in ` thousand) Cumulative Frequency
Less than 50 97
Less than 45 95
Less than 40 90
Less than 35 80
Less than 30 60
Less than 25 30
Less than 20 12
Less than 15 4
Solution: This is a case of cumulative frequency distribution. In order to calculate mode, we will have to convert it
into an exclusive series. In this example, the series is in the descending order. This table should be converted into an
ordinary frequency table, with data arranged in ascending order, to determine the modal class.

Income per month (in ` thousand) Frequency


10–15 4
15–20 12 – 4 = 8
20–25 30 – 12 = 18
25–30 60 – 30 = 30
30–35 80 – 60 = 20

Statistics for Economics XI – by Subhash Dey


35–40 90 – 80 = 10
40–45 95 – 90 = 5
45–50 97 – 95 = 2

The value of the mode lies in 25–30 class interval since it has the largest frequency of 30.
Now, L = 25, D1 = 30 – 18 = 12, D2 = 30 – 20 = 10, h = 5
D1 12
  Mo =
L+ × h = 25 + ×5
D1 + D2 12 + 10

= 25 + 2.27 = 27.27
Thus, the modal worker family’s monthly income is ` 27.27 thousand.
Interpretation: Most of the worker families have monthly income of ` 27.27 thousand.

Do it yourself 28

Calculate mode from the following data: (3 marks)

Marks Less than 10 Less than 20 Less than 30 Less than 40 Less than 50
No. of students 10 30 60 80 90

[Ans. 25]

159
hfghgfg

Illustrations on Mode

Illustration 1: Calculate mode from the following data: (4)


Marks No. of Students
Above 0 80
Above 10 77
Above 20 72
Above 30 65
Above 40 55
Above 50 43
Above 60 28
Above 70 16
Above 80 10
Above 90 8
Above 100 0
Solution: Since this is cumulative frequency distribution, we first convert it into a simple frequency distribution.
Marks No. of Students
0-10 80 – 77 = 3
10-20 77 – 72 = 5
Chapter 5 – Measures of Central Tendency

20-30 72 – 65 = 7
30-40 65 – 55 = 10
40-50 55 – 43 = 12
50-60 43 – 28 = 15
60-70 28 – 16 = 12
70-80 16 –10 = 6
80-90 10 – 8 = 2
90-100 8
By inspection the modal class is 50-60 since it has the largest frequency of 15.
Now L = 50, D1 = 15 – 12 = 3, D2 = 15 – 12 = 3, h = 10
D1 3
Mo =
L+ ×h = 50 +
3+3
× 10 = 50 + 5 = 55
D1 + D2

Thus, the modal marks = 55.


Interpretation: Most of the students obtained 55 marks on an average.

Illustration 2: Find the value of mode from the data given below: (4)
Weight (in kg) 43-47 48-52 53-57 58-62 63-67 68-72 73-77 78-82
No. of Students 2 5 12 17 14 6 3 1

160
Solution: Since this is an inclusive series, we first convert it into an exclusive series.
48–47 = 1. So 1/2 = 0.5. We subtract 0.5 from each lower limit and add 0.5 to each upper limit.
Weight (in kg) No. of Students
42.5–47.5 2
47.5–52.5 5
52.5–57.5 12
57.5–62.5 17
62.5–67.5 14
67.5–72.5 6
72.5–77.5 3
77.5–82.5 1

By inspection the modal class is 57.5–62.5 since it has the largest frequency of 17.
Now L = 57.5, D1 = 17 – 12 = 5, D2 = 17 – 14 = 3, h = 5
D1 5
Mo =
L+ × h = 57.5 + × 10= 57.5 + 6.25= 63.75
D1 + D2 5+3

Thus, the modal weight = 63.75 kg


Interpretation: Most of the students have weight of 63.75 kg on an average.

Illustration 3: Calculate the mode from the following data: (3)


Mid value Frequency
2.5 2

Statistics for Economics XI – by Subhash Dey


7.5 5
12.5 12
17.5 17
22.5 14
Solution: Since mid values are given, class intervals are to be obtained to calculate the mode.
Class Frequency
0-5 7
5-10 18
10-15 25
15-20 30
20-25 20

By inspection the modal class is 15-20 since it has the largest frequency of 30.
Now L = 15, D1 = 30 – 25 = 5, D2 = 30 – 20 = 10, h = 5
D1 5
Mo =
L+ × h = 15 + × 5 = 15 + 1.67 = 16.67
D1 + D2 5 + 10

Thus, mode = 16.67


Interpretation: Most of the values of the variable is 16.67 on an average.
161
Illustration 4: From the following data, construct a Histogram and find the mode graphically and
algebraically: (6)
Daily earning (`) No. of wage earners (f )
45–49 2
50–54 3
55–59 5
60–64 3
65–69 6
70–74 7
75-79 12
80–84 13
85–89 9
90–94 7
95–99 6
100–104 4
105–109 2
110–114 3
115–119 3

Solution:
Since the classes are not continuous they are first converted into continuous classes. 50 – 49 = 1. So 1
÷ 2 = 0.5. Subtract 0.5 from the lower limit of each class and add 0.5 to the upper limit of each class.
Daily earning (`) No. of wage earners (f )
Chapter 5 – Measures of Central Tendency

44.5–49.5 2
49.5–54.5 3
54.5–59.5 5
59.5–64.5 3
64.5–69.5 6
69.5–74.5 7
74.5-79.5 12
79.5–84.5 13
84.5–89.5 9
89.5–94.5 7
94.5–99.5 6
99.5–104.5 4
104.5–109.5 2
109.5–114.5 3
114.5–119.5 3

Location of mode graphically:


Mode = `80.5 (X-coordinate of the point where the dotted line meets the X-axis.)
162
14

12
No. of wage earners (frequency)

10

0 44.5 49.5 54.5 59.5 64.5 69.5 74.5 79.5 84.5 89.5 94.5 99.5 104.5 109.5 114.5 119.5
Mode (=80.5)
Daily wage (in `)
Continuous Classes (after conversion)

Histogram for the distribution of 85 daily wage earners and value of mode

Computation of mode algebraically:


By inspection the modal class is 79.5-84.5 since it has the largest frequency of 13.
Now, L = 79.5, D1 = 13 – 12 = 1, D2 = 13 – 9 = 4, h = 5
D1 1
Mo =
  L+ × h = 79.5 + ×=
5 79.5 +=
1 80.5

Statistics for Economics XI – by Subhash Dey


D1 + D2 1 + 4

Thus, modal wages = `80.5


Interpretation: Most of the wage earners in the locality have wages of `80.5 on an average.

Illustration 5: Find the mode from the following data: (4)


Marks obtained (out of 100) in Economics by 50 students of class XI
Marks No. of Students
0-10 3
10-20 4
20-30 3
30-40 12
40-50 4
50-80 18
80-90 4
90-100 2

Solution: The width of the class interval 50-80 is thrice the usual width of other class intervals. Its frequency
is 18. So frequency density = 18 ÷ 3 = 6.

163
Marks obtained (out of 100) in Economics by 50 students of class XI
Marks No. of Students (Frequency Density)
0-10 3
10-20 4
20-30 3
30-40 12
40-50 4
50-60 6
60-70 6
70-80 6
80-90 4
90-100 2

By inspection the modal class is 30-40 since it has the largest frequency of 12.
Now L = 30, D1 = 12 – 3 = 9, D2 = 12 – 4 = 8, h = 10
D1 9
Mo =
L+ × h  = 30 + × 10 = 30 + 5.29 = 35.29
D1 + D2 9+8

Thus, modal marks = 35.29


Interpretation: Most of the students obtained an average marks of 35.29.

Illustration 6: Calculate the missing frequencies if the mode of the given data is 55 and total frequency
is 80: (4)
Marks No. of Students
Chapter 5 – Measures of Central Tendency

0-10 3
10-20 5
20-30 7
30-40 ?
40-50 12
50-60 15
60-70 ?
70-80 6
80-90 2
90-100 8
Solution: Let the missing frequencies be X and Y respectively.
Given that total frequency = 80.
Therefore, 3 + 5 + 7 + X + 12 + 15 + Y + 6 + 2 + 8 = 80
⇒ X + Y = 22 ................. (1)
Since the value of mode is 55, therefore modal class is 50-60.
Now L = 50, D1 = 15 – 12 = 3, D2 = 15 – Y, h = 10
D1
Mo =
L+ ×h
D1 + D2

164
3
⇒ 55 =
50 +
3 + (15 − Y )
× 10

5 3 1 3
⇒= ⇒
=
10 18 − Y 2 18 − Y

⇒ 18 − Y = 6 ⇒ Y = 12

Substituting Y = 12 in (1), we get X + 12 = 22 ⇒ X = 10


Thus, the missing frequencies are 10 and 12 respectively.

Illustration 7: Calculate the value of mode for the following data by grouping method: (6)
Size 0-5 5-10 10-15 15-20 20-25 25-30 30-35
Frequency 1 2 10 4 10 9 2
Solution:
The size 10-15 and 20-25 have the highest frequency of 10. So, value of mode will be calculated by grouping method.
Grouping Table
Size Frequency I II III IV V VI
0-5 1
3
5-10 2 13
12
10-15 10 16
14
15-20 4 24
14
20-25 10 23
19
25-30 9 21
11
30-35 2

Statistics for Economics XI – by Subhash Dey


Analysis Table
Size of items containing maximum frequency in each column
Column
0-5 5-10 10-15 15-20 20-25 25-30 30-35
I  
II  
III  
IV   
V   
VI   
Total – – 2 3 6 3 1

The modal class size is 20-25.


Now L = 20, D1 = 10 – 4 = 6, D2 = 10 – 9 = 1, h = 5
D1 6
Mo =
L+ × h  = 20 + × 5 = 20 + 4.29 = 24.29
D1 + D2 6 +1

Thus, value of mode = 24.29

165
Practice Questions on Mode
Question 1: The following frequency distribution gives the monthly consumption of electricity of 68 consumers of a
locality. Find the mode of the data and interpret the result. (4 marks)
Monthly consumption (in units) Number of consumers
65 - 85 4
85 - 105 5
105 - 125 13
125 - 145 20
145 - 165 14
165 - 185 8
185 - 205 4

(4 marks)
Question 2: Calculate mode of the following data:
Class Intervals 10-19 20-29 30-39 40-49 50-59 60-69 70-79
Frequencies 10 12 18 30 16 6 8

(4 marks)
Question 3: Compute mode of the following series:
Mid-values 5 10 15 20 25 30 35 40 45
Frequency 7 13 19 24 32 28 17 8 6

Question 4: Calculate mode from the following data: (4 marks)


Class-Interval 0-10 10-15 15-20 20-30 30-40 40-50
Frequency 2 3 2 12 4 7
Chapter 5 – Measures of Central Tendency

Question 5: Locate mode graphically from the given information and verify the result using formula:
(6 marks)
Expenditure 0-10 10-20 20-30 30-40 40-50
No. of families 14 23 27 21 15

Question 6: Determine the value of mode graphically. Also verify the result using formula:
(6 marks)
Marks 0-10 10-20 20-30 30-40 40-50 50-60 60-70
No. of students 4 8 14 20 20 15 6

Question 7: Calculate the missing frequencies if the value of mode is 25. (4 marks)
Class-Interval 0-10 10-20 20-30 30-40 40-50 Total
Frequency 2 X 7 5 Y 21

Question 8: Calculate the mode of the following data using grouping method: (4 marks)
Value 5 10 15 20 25 30 35
Frequency 1 2 10 4 10 9 2

ANSWERS
1. 135.76 units 2. 44.11 3. 25.83 4. 24.67
5. 24 6. 40.1 7. 5 and 2 8. 25

166
5.4 Relative Position of Arithmetic Mean, Median and Mode
Symmetrical/normal distribution Asymmetrical/skewed distribution
In case of symmetrical/normal distribution: In case of asymmetrical/skewed distribution:
Mean = Median = Mode Mode = 3 Median – 2 Mean
Suppose Arithmetic Mean = Me, Median = Mi and The median is always between the arithmetic mean
Mode = Mo and the mode.
Me = Mi = Mo Me > Mi > Mo or Me < Mi < Mo

X
Mean
Median
Mode

Symmetric Distribution

Y Y

Statistics for Economics XI – by Subhash Dey


X X
Mode Median Mean Mean Median Mode

Positively Skewed or Right Skewed Distribution Negatively Skewed or Left Skewed Distribution

Mean Median
Median
Median
Mode Mode
Mode Mean Mean

Positively Skewed Distribution Symmetrical Distribution Negatively Skewed Distribution

167
Example 29

In a moderately asymmetrical distribution, the mode and mean are 32.1 and 35.4 respectively. Find out the value
of Median. (1 mark)
Solution: Mode = 3 Median – 2 Mean ⇒ 3 2.1 = 3 Median – 2 × 35.4
or, 3 Median = 32.1 + 70.8 = 102.9 ⇒ Median = 102.9/3 = 34.3

Do it yourself 29

Calculate median in a moderately asymmetrical distribution if mode is 83 and arithmetic mean is 92. (1 mark)
[Ans. 89]

Example 30

For a skewed distribution, median = 20.6 and mode = 26. Find the mean. (1 mark)
Solution: Mode = 3 Median – 2 Mean    ⇒ 26 = 3 × 20.6 – 2 Mean
or, 2 Mean = 61.8 – 26 = 35.8  ⇒ Mean = 35.8/2 = 17.9

Do it yourself 30

In a moderately asymmetrically distributed series median and mean are 20 and 18 respectively. Find out mode.
[Ans. 24] (1 mark)
Chapter 5 – Measures of Central Tendency

Example 31

For a symmetrical distribution, median = 20. Find the value of Arithmetic mean and Mode. (1 mark)
Solution: For a symmetrical distribution, Mean = Median = Mode
Since median = 20, therefore arithmetic mean = mode = 20

Do it yourself 31

For a normal distribution, mode = 11. Find the value of Arithmetic mean and Median. (1 mark)
[Ans. 11]

Comparison of Arithmetic Mean, Median and Mode


 Arithmetic mean is the most commonly used average. It is simple to calculate and is based on all the
observations. But it is unduly affected by the presence of extreme items.
 Mode is generally used to describe the qualitative data.
 Median and mode can be easily computed graphically but Arithmetic mean cannot be computed
graphically.
 In case of open-ended distribution Median and mode can also be easily computed.

168
Top Tip
It is important to select an appropriate average depending upon the purpose of analysis and the nature of the distribution.

Merits and Demerits of Arithmetic Mean, Median and Mode


Arithmetic Mean Median Mode
Merits Merits Merits
1. Simplicity – Arithmetic mean is easy 1. Simple – It can be calculated as well 1. Simple – Calculation of mode is
to understand and easy to calculate. as understood easily by all. simple. Sometimes, in individual
It is not necessary even to arrange 2. Specific – It is specific in every type series and discrete series it can be
the data in any order for calculating of series, while other averages may found out by inspection only.
arithmetic mean. not be clear sometimes. 2. Least affected of extreme values –
2. Arithmetic mean is based on all the 3. Least affected by extreme values – Mode is not affected by the extreme
values. Even a single value cannot If the extreme classes are not values. If the groups are unequal,
be left while calculating arithmetic certain, even then we can calculate even then mode can be calculated.
mean. median. 3. Representative measure – Mode is
3. Certainty – Arithmetic mean is 4. Graphical representation – Median a representative and real measure of
always determined with certainty. can be graphically obtained. the series because this is one of the
4. Stability – There is a stability in values from the group itself.
the arithmetic mean. If different 4. Graphical representation – Mode
samples are taken from a universe, can be calculated graphically also.
arithmetic mean of all the samples
will be approximately the same.

Demerits Demerits Demerits


1. It is affected by extreme values. Any 1. It is not based on all values of the 1. It is not based on all the observations
large value, on either end can push it given data. of a series.

Statistics for Economics XI – by Subhash Dey


up or down. 2. In arranging the data in ascending 2. It is not capable of further statistical
2. Mean value may not exist in the or descending order, it takes much treatment.
series. time. 3. It is an uncertain measure of central
3. It may result in misleading 3. It is affected by fluctuations of tendency – it is very difficult to get a
conclusion, e.g. 16.5 students. items. definite value of mode.
4. It cannot be obtained graphically. 4. Procedure for grouping of data is
complicated.

Differences between Arithmetic Mean, Median and Mode


Arithmetic Mean Median Mode
It is rigidly defined. Its value is It is rigidly defined. Its value is not It is not rigidly defined. Its value is not
definite. definite. definite.
It is based on all the values of series. It is not based on all the values of It is not based on all the values of
series. series.

It is not simple and easy to calculate it. It is simple and easy to calculate. It is simple and easy to calculate.

It is frequently used for further It is frequently used for further It is not frequently used for further
statistical analysis of series. statistical analysis of series. statistical analysis of series.
It cannot be located on graph. It cannot be located on graph. It cannot be located on graph.
It is a calculated value. It is a positional value. It is a positional value.

169
List of Formulae – Measures of Central Tendency or Averages
Averages Ungrouped Data Grouped Data Discrete Series Grouped Data Continuous Series
Arithmetic Direct Method Direct Method
Direct Method: X = ΣX
Mean (A.M.) N ΣfX Σfm
X= X=
SX = sum of all observations Σf Σf
N = number of observations SfX = sum of the product where, m = mid values
N1 X 1 + N 2 X 2
Combined mean: X 12 = of variables and
N1 + N 2 Assumed Mean Method
frequencies
Σfd
ΣWX Sf = sum of frequencies X= A +
Weighted A.M.: X w = Σf
ΣW
Assumed Mean Method where, d = m – A
Σd Σfd
Assumed Mean Method: X= A + X= A +
N Σf Step deviation method
Σfd ′
A = assumed mean, Sd = S(X – A) Step Deviation Method X=A+ ×c
Σf
Σd ′ Σfd ′
Step-deviation Method: X =A + ×c X=A+ ×c m−A
N Σf where, d ′ =
c
(X - A )
c = common factor, d′ =
c

( ) ( )
Median th th Locate the median class,
N +1 N +1
Median = size of item Median = size of item
()
th
N
2 2 where item lies.
2
where N = No. of observations
( )
where, N = Sf N
- c.f .
Note: The position of median 2
Median = L + ¥h
can be located through f
Chapter 5 – Measures of Central Tendency

cumulative frequency.
where,
L = lower limit of the
median class
c.f. = cumulative frequency of
the preceding class
f = frequency of the
median class
h = magnitude of the
median class interval

Mode The value which occurs maximum Mode can be determined just Modal class is the class with
number of times is the modal value. by inspection, i.e., by looking to largest frequency. Mode,
that value of the variable which D1
has the highest frequency. Mo = L + ¥h
D1 + D 2

L = lower limit of modal


class
D1 = Frequency of modal
class – Frequency of
preceding class
D2 = Frequency of modal
class – Frequency of
succeeding class
h = class size of the
distribution

170
hfghgfg

Miscellaneous Illustrations

Illustration 1: The following table gives production yield in kg. per hectare of wheat of 150 farms in
a village. Calculate the mean, median and mode values. Also interpret the result. (NCERT) (6)
Production yield (kg. per hectare) Number of farms
50–53 3
53–56 8
56–59 14
59–62 30
62–65 36
65–68 28
68–71 16
71–74 10
74–77 5

Solution: Calculation of Mean, Median and Mode

Production yield Number of m - 63.5


(kg. per hectare) farms (f )
Mid value (m) d¢ = fd′ Cumulative frequency
3

Statistics for Economics XI – by Subhash Dey


50–53 3 51.5 –4 –12 3
53–56 8 54.5 –3 –24 11
56–59 14 57.5 –2 –28 25
59–62 30 60.5 –1 –30 55
62–65 36 63.5 0 0 91
65–68 28 66.5 +1 +28 119
68–71 16 69.5 +2 +32 135
71–74 10 72.5 +3 +30 145
74–77 5 75.5 +4 +20 150
150 +16

(a) Calculation of Arithmetic Mean


Σfd ′ 16
X= A + ×=
c 63.5 + ×=
3 63.5 + 0.32
= 63.82
Σf 150
Interpretation: Average productive yield of a farm is 63.82 kg per hectare.

(b) Calculation of Median

(2) (=2 )
th th
N 150
Median class is the value of = item item 75th item of the 1series, which lies in 62-65 class interval.

171
Illustration 3: Given that the mean height of a group of students is 67.45 inches.
(a) Find the missing frequencies for the following data.
(b) Obtain the median height of the students. (6)
Height (in inches) 60-62 63-65 66-68 69-71 72-74 Total
No. of students 5 18 — — 8 100

Solution:
(a) Let the missing frequencies be X and Y respectively.
Height (in inches) No. of students (f) Mid point (m) d′ = (m – 67)/3 fd′
60-62 5 61 –2 –10
63-65 18 64 –1 –18
66-68 X 67 (A) 0 0
69-71 Y 70 +1 Y
72-74 8 73 +2 +16
Total 31 + X + Y = 100 –12 + Y

31 + X + Y = 100 ⇒ X + Y = 69 ................................ (1)


Sfd ¢  −12 + Y 
X = A+ ¥ c ⇒ 67.45  = 67 +  × 3
Sf  100 

⇒ (–12 + Y) × 3 = 45 ⇒ Y = 27
Substituting Y = 27 in (1), we get X + 27 = 69

Statistics for Economics XI – by Subhash Dey


⇒ X = 42
Thus, the missing frequencies are 42 and 27 respectively.
(b) Calculation of median height of students
Height (in inches) No. of students Cumulative Frequency
59.5-62.5 5 5
62.5-65.5 18 23
65.5-68.5 42 65
68.5-71.5 27 92
71.5-74.5 8 100

(2) (=2 )
th th
N 100 th
Median class is the value of = item item 50 item of the series, which lies in the class 65.5-68.5

edian =
M L +
( N
2
− c.f .)
× h = 65.5 +
(50 − 23 )
× 3 = 65.5 + 1.93 = 67.43
f 42
The median height of students is 67.43 inches. This means that 50% of the students have height of less than
or equal to 67.43 inches and 50% of the remaining students have height of more than or equal to 67.43 inches.

173
Illustration 4: The following table gives the distribution of monthly salary of 900 employees. However,
the frequencies of the classes 40-50 and 60-70 are missing. If the median of the distribution is `59,250,
find the missing frequencies. Hence obtain the value of mode. (6)
Salaries ( in ‘000) 30-40 40-50 50-60 60-70 70-80
No. of Employees 120 ? 200 ? 185
Solution: (a) Let the missing frequencies of the class 40-50 and 60-70 be denoted by X and Y respectively.
Salaries ( in ‘000) No. of Employees Cumulative frequency
30-40 120 120
40-50 X 120 + X
50-60 200 320 + X
60-70 Y 320 + X + Y
70-80 185 505 + X + Y
N = Sf = 900
505 + X + Y = 900 ⇒ X + Y = 395 ...............(1)
Since Median = 59.25 thousand, Median class is 50-60.

Median = L +
( N
2
− c.f .)  450 − (120 + X ) 
× h ⇒ 59.25 = 50 +  × 10 ⇒ 185 = 330 − X ⇒ X = 145
f 200
Substituting X = 145 in equation (1), we get 145 + Y = 395. Therefore, Y = 250
Thus, the missing frequencies are 145 and 250 respectively.

(b) Calculation of Mode:


Chapter 5 – Measures of Central Tendency

By inspection the modal class is 60-70 since it has the largest frequency of Y = 250.
Now L = 60, D1 = 250 – 200 = 50, D2 = 250 – 185 = 65, h = 10
D1 50
Mo =
L+ × h  = 60 + × 10 = 60 + 4.35 = 64.35
D1 + D2 50 + 65

Thus, modal salary of employees = `64.35 thousand or `64,350

Illustration 5: Calculate the missing frequencies if the mode of the given data is 55 and total frequency
is 80. Hence obtain the values of arithmetic mean and median. (6)
Marks No. of Students
0-10 3
10-20 5
20-30 7
30-40 ?
40-50 12
50-60 15
60-70 ?
70-80 6
80-90 2
90-100 8

174
Solution: (a) Let the missing frequencies be X and Y respectively.
Given that total frequency = 80.
Therefore, 3 + 5 + 7 + X + 12 + 15 + Y + 6 + 2 + 8 = 80
⇒ X + Y = 22 ................. (1)
Since the value of mode is 55, therefore modal class is 50-60.
Now L = 50, D1 = 15 – 12 = 3, D2 = 15 – Y, h = 10
D1
Mo =
L+ ×h
D1 + D2

3
⇒ 55 =
50 +
3 + (15 − Y )
× 10

5 3 1 3
⇒= ⇒
=
10 18 − Y 2 18 − Y

⇒ 18 − Y = 6 ⇒ Y = 12

Substituting Y = 12 in (1), we get X + 12 = 22 ⇒ X = 10


Thus, the missing frequencies are 10 and 12 respectively.

(b) Computation of arithmetic mean by Step Deviation Method


m - 55
Marks No. of Students (f) Mid value (m) d¢ = fd′
10
0-10 3 5 –6 –30
10-20 5 15 –5 –75

Statistics for Economics XI – by Subhash Dey


20-30 7 25 –4 –100
30-40 10 35 –3 –105
40-50 12 45 –2 –90
50-60 15 55 –1 –55
60-70 12 65 (A) 0 0
70-80 6 75 1 75
80-90 2 85 2 170
90-100 8 95 3 285
Total Sf = 80 Sfd′ = 75

X= A+
Σfd ′
Σf ( )
× c = 65 +
75
80
× 10 = 65 + 9.375 = 74.375

Thus, the arithmetic mean marks of the students = 74.375


Computation of median marks:
Since the distribution is asymmetric, Mode = 3 Median – 2 Mean
Therefore, 55 = 3 Median – 2 × 74.375
⇒ 55 = 3 Median – 148.75 ⇒ 3 Median = 203.75
Thus, the median marks = 203.75/3 = 67.92
175
Miscellaneous Questions for Practice
Question 1: Calculate mean, median and mode from the following data: (6 marks)
Class-Interval 0-10 10-15 15-20 20-30 30-40 40-50
Frequency 2 3 2 12 4 7

Question 2: The marks obtained by 30 students of Class XI of a certain school in Economics paper consisting of 100 marks
are presented in table below. If the mean of the marks obtained by the students is 59.3, find the missing frequencies. Hence
obtain the marks obtained by most of the students. (6 marks)
Marks 10 20 36 40 50 56 60 70 72 80 88 92 95
No. of students 1 1 3 4 ? 2 4 4 1 1 ? 3 1
Question 3: Calculate the marks obtained by a student on an average and the marks obtained by the maximum number
of students: (4 marks)
Class interval 10-25 25-40 40-55 55-70 70-85 85-100
No. of students 2 3 7 6 6 6

Question 4: The table below gives the percentage distribution of female teachers in the primary schools of rural areas of
various states and union territories (U.T.) of India. Find the mean and median percentage of female teachers. (4 marks)
% of female teachers 15-25 25-35 35-45 45-55 55-65 65-75 75-85
No. of States/U.T. 6 11 7 4 4 2 1
Question 5: Calculate mean, median and mode from the following data: (6 marks)
No. of wickets 20-60 60-100 100-150 150-250 250-350 350-450
No. of bowlers 7 5 16 12 2 3
Chapter 5 – Measures of Central Tendency

Question 6: Consider the following distribution of daily wages of 50 workers of a factory. Find the mean daily wages
of the workers of the factory and daily wages of the maximum number of workers. (4 marks)
Daily wages (in `) 500-520 520 -540 540-560 560-580 580-600
Number of workers 12 14 8 6 10

Question 7: The following distribution shows the daily pocket allowance (in `) of children of a locality. The mean pocket
allowance is Rs 18. Find the missing frequency f and hence obtain the values of median and mode. (6 marks)
Daily pocket allowance 11-13 13-15 13-15 17-19 19-21 21-23 23-25
No. of children 7 6 6 13 f 5 4

Question 8: The table below shows the daily expenditure (in `) on food of 25 households in a locality. Find the mean,
median and mode. (6 marks)
Daily expenditure 100 - 150 150 - 200 200 - 250 250 - 300 300 - 350
No. of households 4 5 12 2 2

Question 9: TThe following table gives the literacy rate (in %) of 35 cities. Find the mean and median.
(6 marks)
Literacy rate (in %) 45 - 55 55 - 65 65 - 75 75 - 85 85 - 95
Number of cities 3 10 11 8 3

176
Question 10: The following table shows the ages of the patients admitted in a hospital during a year. Find the mode
and the mean. Compare and interpret the two measures of central tendency. (6 marks)
Age (in years) 5 - 15 15 - 25 25 - 35 35 - 45 45 - 55 55 - 65
Number of patients 6 11 21 23 14 5
Question 11: The following data gives the information on the observed lifetimes (in hours) of 225 electrical components.
Determine the mean and modal lifetimes of the components. (4 marks)
Lifetimes (in hours) 0 - 20 20 - 40 40 - 60 60 - 80 80 - 100 100 - 120
Frequency 10 35 52 61 38 29
Question 12: The following data gives the distribution of total monthly household expenditure of 200 families of a
village. Find the modal monthly expenditure of the families. Also, find the mean monthly expenditure: (4 marks)
Expenditure (in `) Number of families
1000 - 1500 24
1500 - 2000 40
2000 - 2500 33
2500 - 3000 28
3000 - 3500 30
3500 - 4000 22
4000 - 4500 16
4500 - 5000 7
Question 13: The following distribution gives the state-wise teacher-student ratio in higher secondary schools of India.
Find the mode and mean of this data. Interpret the two measures. (6 marks)
Number of students per teacher Number of States / U.T.
15 - 20 3

Statistics for Economics XI – by Subhash Dey


20 - 25 8
25 - 30 9
30 - 35 10
35 - 40 3
40 - 45 0
45 - 50 0
50 - 55 2
Question 14: Find the median and mode of the following data. (4 marks)
Marks obtained 20 29 28 33 42 38 43 25
No. of students 6 28 24 15 2 4 1 20
Question 15: A survey regarding the heights (in cm) of 51 girls of Class XI of a school was conducted and the following
data was obtained. Find the mean, median and modal height. (6 marks)
Height (in cm) Number of girls
Less than 140 4
Less than 145 11
Less than 150 29
Less than 155 40
Less than 160 46
Less than 165 51
177
Question 16: The median of the following data is 525. Find the values of x and y, if the total frequency is 100. Also
find the mode of the data: (6 marks)
Class interval Frequency
0 - 100 2
100 - 200 5
200 - 300 x
300 - 400 12
400 - 500 17
500 - 600 20
600 - 700 y
700 - 800 9
800 - 900 7
900 - 1000 4

Question 17: The following frequency distribution gives the monthly consumption of electricity of 68 consumers
of a locality. Find the median, mean and mode of the data. (6 marks)
Monthly consumption (in units) Number of consumers
65 - 85 4
85 - 105 5
105 - 125 13
125 - 145 20
145 - 165 14
165 - 185 8
185 - 205 4
Chapter 5 – Measures of Central Tendency

Question 18: If the median of the distribution given below is 28.5, find the values of x and y. Also find the mean of
the distribution: (6 marks)
Class interval 0 - 10 10 - 20 20 - 30 30 - 40 40 - 50 50 - 60 Total
Frequency 5 x 20 15 y 5 60

Question 19: A life insurance agent found the following data for distribution of ages of 100 policy holders. Calculate
the median age, if policies are given only to persons having age 18 years onwards but less than 60 year. (3 marks)
Age (in years) Number of policy holders
Below 20 2
Below 25 6
Below 30 24
Below 35 45
Below 40 78
Below 45 89
Below 50 92
Below 55 98
Below 60 100
178
Question 20: The lengths of 40 leaves of a plant are measured correct to the nearest millimetre, and the data obtained
is represented in the following table. Find the median length of the leaves. (4 marks)
Length (in mm) 118 - 126 127 - 135 136 - 144 145 - 153 154 - 162 163 - 171 172 - 180
Number of leaves 3 5 9 12 5 4 2

Question 21: 100 surnames were randomly picked up from a local telephone directory and the frequency distribution
of the number of letters in the English alphabets in the surnames was obtained as follows. Determine the median
number of letters in the surnames. Find the mean number of letters in the surnames? Also, find the modal size of the
surnames. (6 marks)
No. of letters 1-4 4-7 7 - 10 10 - 13 13 - 16 16 - 19
No. of surnames 6 30 40 16 4 4

Question 22: The annual profits earned by 30 shops of a shopping complex in a locality give rise to the following
distribution. Draw both ogives for the data above. Hence obtain the median profit graphically and verify the result by
using the formula: (6 marks)
Profit (`in lakhs) Number of shops
More than or equal to 5 30
More than or equal to 10 28
More than or equal to 15 16
More than or equal to 20 14
More than or equal to 25 10
More than or equal to 30 7
More than or equal to 35 3

Statistics for Economics XI – by Subhash Dey


Question 23: The following distribution gives the daily income of 50 workers of a factory. Convert the distribution
above to a less than type cumulative frequency distribution, and draw its ogive. Hence obtain the median from the
graph and verify the result by using the formula. (6 marks)
Daily income (in `) 100 - 120 120 - 140 140 - 160 160 - 180 180 - 200
Number of workers 12 14 8 6 10

Question 24: During the medical check-up of 35 students of a class, their weights were recorded as follows. Draw a
less than type ogive for the given data. Hence obtain the median weight from the graph and verify the result by using
the formula. (6 marks)
Weight (in kg) Number of students
Less than 38 0
Less than 40 3
Less than 42 5
Less than 44 9
Less than 46 14
Less than 48 28
Less than 50 32
Less than 52 35
179
Question 25: The following table gives production yield per hectare of wheat of 100 farms of a village. Change the
distribution to a more than type distribution, and draw its ogive. Hence obtain the median from the graph and verify
the result by using the formula. (6 marks)
Production yield 50 - 55 55 - 60 60 - 65 65 - 70 70 - 75 75 - 80
Number of farms 2 8 12 24 38 16

Question 26: From the folowing data of 1000 persons each of age 20 years and above, determine the mean, median
and modal age. (6 marks)
Age below (in years) 30 40 50 60 70 80
Number of persons 100 220 350 750 950 1000

ANSWERS

1. Mean = 27.92, Median = 26.67, Mode = 24.67 2. Missing frequencies are 3 and 2, Modal Marks = 60
3. Mean = 62 marks, Mode = 52 marks 4. Mean = 39.71, Median = 35.71

5. Mean = 152.89, Median = 132.81, Mode = 136.17 6. Mean = `545.20, Mode = `525

7. f = 20, Median = `18.53, Mode = 19.63 8. Mean = `211, Median = `214.58, Mode = `220.58
9. Mean = 69.43 %, Median = 69.09 % 10. Mode = 36.8 years, Mean = 35.37 years.
Maximum number of patients admitted in the hos-
pital are of the age 36.8 years (approx.), while on an
Chapter 5 – Measures of Central Tendency

average the age of a patient admitted to the hospital is


35.37 years.
11. Mean Lifetime = 65.022 hours, Mode = 65.625 hours 12. Mean monthly expenditure = ` 2,662.50
Modal monthly expenditure = ` 1,847.83,

13. Mode : 30.6, Mean = 29.2. 14. Median = 28.5, Mode = 28


Most states/U.T. have a student teacher ratio of 30.6
and on an average, this ratio is 29.2.

15. Mean height = 149.75 cm, 16. x = 9, y = 15, Mode = 537.5


Median height = 149.03 cm,
Modal Height = 148.05

17. Mean = 137.05, Median = 137, Mode = 135.76 18. x = 8, y = 7, Mean = 29.33

19. Median age = 35.76 years 20. Median length = 146.75 mm

21. Median = 8.05, Mean = 8.32, Modal size = 7.88 22. Median profit = `17.5 lakhs

23. `138.57 24. 46.5 kg


25. 70.53 26. Mean = 51.3 years,
Median = 53.75 years,
Mode = 55.74 years

180
Objective Type Questions

1. There are several statistical measures of central tendency or ____________. Fill in the blank.
2. The three most commonly used averages are __________. (Choose the correct alternative)
(a) Arithmetic Mean, Median and Mode
(b) Arithmetic Mean, Geometric Mean and Harmonic Mean
(c) Median, Lower quartile and Upper quartile
(d) All of these
3. ________ is the most commonly used measure of central tendency. (Choose the correct alternative)
(a) Arithmetic Mean (b) Median
(c) Quartile (d) Mode
4. Arithmetic mean is defined as the sum of the values of all observations divided by the _____________.
Fill in the blank.
5. The following data shows marks of a student in a class in four subjects except economics:
40, 50, 55, 58
How many marks did the student score in economics such that the average marks is 56.2?
(Choose the correct alternative)
(a) 78 (b) 56.2
(c) 50.75 (d) 100
6. The sum of deviations of items about arithmetic mean is always equal to________.
(Choose the correct alternative)
(a) one (b) zero
(c) Infinity (d) None of these

Statistics for Economics XI – by Subhash Dey


7. Average rainfall of a city from Monday to Saturday is 0.3 inch. Due to heavy rainfall on Sunday
the average rainfall for the week increased to 0.5 inch. What was the rainfall on Sunday?
(Choose the correct alternative)
(a) 0.2 inch. (b) 1.7 inch.
(c) 0.3 inch. (d) 0.5 inch.
8. The average weight of a group 25 boys was calculated to be 52 kg. It was later discovered that
the weight of a boy was wrongly read as 45 kg instead of 54 kg. What is the correct average
weight? (Choose the correct alternative)
(a) 52.36 kg (b) 48.2 kg
(c) 49.84 kg (d) 51.64 kg

9. The average marks in statistics of 10 students of a class were 81. A new student took admission
who scored 92 marks whereas two existing students left the college who scored 56 and 36 marks.
What is the new average marks? (Choose the correct alternative)
(a) 81 marks (b) 90 marks
(c) 82.8 marks (d) 79.7 marks
10. For a skewed distribution, median = 30 and mode = 35. What is the value of the mean?
(Choose the correct alternative)
(a) 35 (b) 30
(c) 32.5 (d) 27.5

181
11. For a symmetrical distribution, median = 30 and mode = 30. What is the value of the mean?
(Choose the correct alternative)
(a) 0 (b) 30
(c) 60 (d) None of these
12. ___________ is affected by extreme values. Any large value, on either end, can push it up or
down. (Choose the correct alternative)
(a) Arithmetic Mean
(b) Weighted Mean
(c) Median
(d) Mode
13. If the number of observations in the data is more and/or figures are large, it is difficult to compute
arithmetic mean by___________. (Choose the correct alternative)
(a) direct method (b) assumed mean method
(c) step deviation method (d) All of these
14. Any value, whether existing in the data or not, can be taken as assumed mean. However, in order to
simplify the calculation, _____________ in the data can be selected as assumed mean. Fill in the blank.
15. In the following formula for calculating mean , what is ‘c’ called?
Sd ¢
X = A+ ¥c
N
16. Under Step Deviation Method of calculating arithmetic mean, the deviations are divided by the _______
which simplifies the calculation. Fill in the blank.
17. The process of calculating arithmetic mean in case of continuous series is same as that of a discrete
series. The only difference is that the __________ of various class intervals are taken. Fill in the
blanks.
Chapter 5 – Measures of Central Tendency

18. The ________ is the “middle”element when the data set is arranged in order of the magnitude.
(Choose the correct alternative)
(a) Mean (b) Median
(c) Quartile (d) Mode
19. Median is unaffected if the size of the largest value increases. True/ False? Give reason.
20. In order to calculate median it is important to know the _____ of the median, which is calculated by
the formula ______. Fill in the blanks.

( )
th
N +1
21. In case of discrete series the position of median, i.e. item can be located through ______.
2
Here, N = ______. Fill in the blanks.
22. In case of continuous series you have to locate the median class where ______ item lies. Fill in the blank.
23. For calculating _______ no adjustment is required if frequency is of unequal size or magnitude.
(Choose the correct alternative)
(a) Mean (b) Median
(c) Mode (d) All of these
24. The value around which maximum concentration of items occurs is called the ______ of the
series. (Choose the correct alternative)
(a) mean (b) weighted mean
(c) median (d) mode

182
25. In a discrete series, mode can be determined by looking to that value of the variable which has the
_________ frequency. Fill in the blank.
26. The mode is not necessarily unique, unlike arithmetic mean and median. True/ False? Give reason.
27. The following is the histogram constructed from the frequency distribution of a variable. What
may such data be called? (Choose the correct alternative)

Frequency

Variable

(a) Unimodal data (b) Bi-modal data


(c) Multi-modal data (d) All of these
28. In case of a _______ distribution, the values of Mean, Median and Mode are equal. Fill in the blank.
29. The _______ is always between the ___________ and the______ . (mode/arithmetic mean/median)
Fill in the blanks with correct words.
30. In case of asymmetrical/skewed distribution, the relative magnitude of the three are:
(Choose the correct alternative)
(a) Me = Mi = Mo (b) Me < Mi < Mo
(c) Me > Mi > Mo (d) Both (b) and (c)
31. __________ is generally used to describe the qualitative data. (Choose the correct alternative)
(a) Arithmetic mean (b) Geometric mean

Statistics for Economics XI – by Subhash Dey


(c) Median (d) Mode
32. ___________ can be easily computed graphically. (Choose the correct alternative)
(a) Arithmetic mean (b) Median
(c) Mode (d) Both (b) and (c)
33. In case of open-ended distribution, __________ can also be easily computed.
(Choose the correct alternative)
(a) Arithmetic mean (b) Median
(c) Mode (d) Both (b) and (c)
34. Arithmetic mean cannot be calculated when open-end classes are there. (True/False)
35. Arithmetic mean is a rigidly defined value. (True/False)
36. Arithmetic mean can be used as an average in all situations. (True/False)
37. Arithmetic mean fulfils the condition:X × N = SX. (True/False)
38. Arithmetic mean can be located graphically. (True/False)
39. Arithmetic mean is equal to median and mode when the distribution is _______. Fill up the blank.
40. _______ is a single figure which represents a frequency distribution. Fill up the blank.
41. _______ is a value which is obtained by dividing the sum of values of items by the number of items.
Fill up the blank.

183
42. Measures of central tendency for a given set of observations measures (Choose the correct alternative)
(a) The scatterness of the observations (b) The central location of the observations
(c) Both (a) and (b) (d) None of these
43. While computing the Arithmetic Mean from a grouped frequency distribution, we assume that:
(Choose the correct alternative)
(a) The classes are of equal length
(b) The classes have equal frequency
(c) All the values of a class are equal to the mid-value of that class
(d) None of these.
44. Usually _______ is the best measure of central tendency. Fill in the blank.
45. For open-end classification, which of the following is the best measure of central tendency?
(Choose the correct alternative)
(a) Arithmetic Mean (b) Geometric Mean
(c) Median (d) Mode
46. The presence of extreme observations does not affect ________. (Choose the correct alternative)
(a) Arithmetic Mean (b) Median
(c) Mode (d) All of these
47. In case of an even number of observations which of the following is median?
(Choose the correct alternative)
(a) Any of the two middle-most value
(b) The simple average of these two middle values
(c) The weighted average of these two middle values
(d) None of these
48. The most commonly used measure of central tendency is _______. (Choose the correct alternative)
(a) Arithmetic Mean (b) Median
Chapter 5 – Measures of Central Tendency

(c) Mode (d) All of these


49. Which one of the following is not uniquely defined? (Choose the correct alternative)
(a) Arithmetic Mean (b) Median
(c) Mode (d) All of these
50. Weighted averages are considered when: (Choose the correct alternative)
(a) The data are not classified
(b) The data are put in the form of grouped frequency distribution
(c) All the observations are not of equal importance
(d) Both (a) and (c).
51. Which of he following measures of central tendency is based on only fifty percent of the central
values? (Choose the correct alternative)
(a) Arithmetic Mean (b) Median
(c) Mode (d) Both (a) and (b)
52. What is the median for the following observations? (Choose the correct alternative)
5, 8, 6, 9, 11, 4
(a) 6 (b) 7
(c) 8 (d) None of these
53. What is the modal value for the numbers 5, 8, 6, 4, 10, 15, 18, 10? (Choose the correct alternative)
(a) 18 (b) 10
(c) 14 (d) None of these

184
54. If there are two groups containing 30 and 20 observations and having 50 and 60 as arithmetic
means, then the combined arithmetic mean is: (Choose the correct alternative)
(a) 55 (b) 56
(c) 54 (d) 52
55. The number of measures of central tendency is: (Choose the correct alternative)
(a) two (b) three
(c) four (d) five
56. The algebraic sum of deviations of observations from their arithmetic mean is:
(Choose the correct alternative)
(a) 2 (b) –1
(c) 1 (d) 0
57. The sum of deviations of 8, 1, 6 from the arithmetic mean is _______. Fill in the blank.
58. The value of the middle most item when they are arranged in order of magnitude is called _______.
(Choose the correct alternative)
(a) standard deviation (b) mean
(c) mode (d) median
59. Median is unaffected by extreme values. (True/False)
60. Median of 2, 5, 8, 4, 9, 6, 71 is: (Choose the correct alternative)
(a) 9 (b) 8
(c) 5 (d) 6
61. The value which occurs with the maximum frequency is called ____. (Choose the correct alternative)
(a) Median (b) Mode
(c) Mean (d) none of these
62. In formula of median for grouped frequency distribution N is: (Choose the correct alternative)
(a) total frequency (b) frequency density

Statistics for Economics XI – by Subhash Dey


(c) frequency (d) cumulative frequency
63. Mode of the observations 2, 5, 8, 4, 3, 4, 4, 5, 2, 4, 4 is: (Choose the correct alternative)
(a) 3 (b) 2
(c) 5 (d) 4
64. For the observations 5, 3, 6, 3, 5, 10, 7, 2 there are ______ modes. (Choose the correct alternative)
(a) 2 (b) 3
(c) 4 (d) 5
65. Simple average is sometimes called _________. (Choose the correct alternative)
(a) weighted average (b) unweighted average
(c) relative average (d) None of these
66. When a frequency distribution is given, the frequencies themselves are treated as weights. (True/False)
67. Each value is considered only once for _______. (simple average/weighted average) Choose the correct
option.
68. Each value is considered as many times as it occurs for _______. (simple average/weighted average)
Choose the correct option.
69. Multiplying the values of the variable by the corresponding weights and then dividing the sum of
products by the sum of weights is _______. (simple average/weighted average) Choose the correct
option.
70. Simple and weighted averages are equal only when _______ are equal. Fill in the blank.
71. ________ is obtained on dividing the total of a set of observations by their number. (simple average/
weighted average) Choose the correct option.

185
72. Frequencies are generally used as: (Choose the correct alternative)
(a) range (b) weights
(c) mean (d) None of these
73. The total of the deviations of a set of observations from their Arithmetic Mean is always _______.
(Choose the correct alternative)
(a) 0 (b) 1
(c) –1 (d) None of these
74. Deviation may be positive or negative or zero. (True/False)
75. Arithmetic Mean of 8, 1, 6 is:
(a) 5 (b) 6
(c) 4 (d) None of these
76. ________ can be calculated from a frequency distribution with open end intervals.
(Choose the correct alternative)
(a) Median (b) Mean
(c) Mode (d) None of these
77. The values of all items are taken into consideration in the calculation of _______.
(Choose the correct alternative)
(a) Median (b) Mean
(c) Mode (d) None of these
78. The values of extreme items do not influence the average in case of _______.
(Choose the correct alternative)
(a) Median (b) Mean
(c) Mode (d) None of these
79. When all values occur with equal frequency, there is no _______. Fill in the blank.
80. _____ is equal to the value corresponding to cumulative frequency. (Choose the correct alternative)
Chapter 5 – Measures of Central Tendency

(a) Mode (b) Mean


(c) Median (d) None of these
81. ________ is the value of the variable corresponding to the highest frequency.
(Choose the correct alternative)
(a) Mode (b) Mean
(c) Median (d) None of these
82. The class in which mode belongs is known as: (Choose the correct alternative)
(a) Median class (b) Mean class
(c) Modal class (d) None of these
83. The formula of mode is applicable if classes are of __________ width. (equal/unequal/equal or unequal)
Choose the correct option.
84. For calculation of _______ we have to construct cumulative frequency distribution.
(Choose the correct alternative)
(a) mode (b) median
(c) mean (d) None of these
85. When the distribution is symmetrical, mean, median and mode _________. (coincide/do not
coincide) Choose the correct option.
86. Mean, median and mode are equal for the ________. (Choose the correct alternative)
(a) Binomial distribution (b) Normal distribution
(c) Skewed distribution (d) Asymmetric distribution

186
87. _____ divides the total number of observations into two equal parts. (Choose the correct alternative)
(a) Mode (b) Mean
(c) Median (d) None of these
88. The middle most value of a set of observations is _______. (Choose the correct alternative)
(a) Mode (b) Mean
(c) Median (d) None of these
89. The number of observations smaller than _______ is the same as the number larger than it.
(Choose the correct alternative)
(a) Mode (b) Mean
(c) Median (d) None of these
90. ________ is the value of the variable corresponding to cumulative frequency N/2.
(Choose the correct alternative)
(a) Mode (b) Mean
(c) Median (d) None of these
91. Rank of median is: (Choose the correct alternative)
(a) (n + 1)/2 (b) (n + 1)/4
(c) 3(n + 1)/4 (d) None of these
92. _________ is equal to value corresponding to cumulative frequency (N + 1)/2 from simple frequency
distribution. Fill up the blank.
93. For grouped frequency distribution _________ is equal to the value corresponding to cumulative
frequency N/2. Fill up the blank.
94. Mean for the data 6, 4, 1, 6, 5, 10, 3 is: (Choose the correct alternative)
(a) 7 (b) 5
(c) 6 (d) None of these
95. Arithmetic mean of 2, 6, 4, 1, 8, 5, 2 is _______. (Choose the correct alternative)
(a) 4 (b) 3

Statistics for Economics XI – by Subhash Dey


(c) 5 (d) None of these
96. A measure of central tendency tries to estimate the _______. (Choose the correct alternative)
(a) central value (b) lower value
(c) upper value (d) None of these
97. Measures of central tendency are also known as _______. (Choose the correct alternative)
98. Mean is influenced by extreme values. (True/False)
99. Mean of 6, 7, 11, 8 is _____. (Choose the correct alternative)
(a) 11 (b) 6
(c) 7 (d) 8
100. The sum of differences between the actual values and the mean is: (Choose the correct alternative)
(a) 2 (b) –1
(c) 0 (d) 1
101. When the algebraic sum of deviations from the arithmetic mean is not equal to zero, the figure of
arithmetic mean is not correct. (True/False)
102. Half of the numbers in an ordered set have values less than the ________ and half will have values
greater than the ________. (Choose the correct alternative)
(a) mean, median (b) median, median
(c) mode, mean (d) None of these
103. The median of 27, 30, 26, 44, 42, 51, 37 is: (Choose the correct alternative)
(a) 30 (b) 42
(c) 44 (d) 37

187
104. For an even number of values the median is the: (Choose the correct alternative)
(a) average of two middle values (b) middle value
(c) both (a) and (b) (d) None of these
105. In the case of a continuous frequency distribution, the size of the _________ item indicates class
interval in which the median lies. (Choose the correct alternative)
(a) (n – 1)/2th (b) (n + 1)/2th
(c) n/2th (d) None of these
106.
Height (in cm) 60-62 63-65 66-68 69-71 72-74
No. of students 15 118 142 127 18
Modal group is: (Choose the correct alternative)
(a) 66–68 (b) 69–71
(c) 63–65 (d) None of these
107. __________ always lies in between the arithmetic mean and mode. Fill in the blank.
108. For ordering shoes of various sizes for resale, a _________ size will be more appropriate.
(Choose the correct alternative)
(a) median (b) modal
(c) mean (d) None of these
109. __________ is called a positional measure. (Choose the correct alternative)
(a) Median (b) Mode
(c) Mean (d) None of these
110. 50% of actual values will be below and 50% of will be above _______. (Choose the correct alternative)
(a) mode (b) median
(c) mean (d) None of these
111. Extreme values have _______ effect on mode. (Choose the correct alternative)
Chapter 5 – Measures of Central Tendency

(a) high (b) low


(c) no (d) None of these
112. Extreme values have _______ effect on median. (Choose the correct alternative)
(a) high (b) low
(c) no (d) None of these
113. ________ is used when representation value is required & distribution is asymmetric.
(Choose the correct alternative)
(a) Mode (b) Mean
(c) Median (d) None of these
114. The cumulative frequency distribution is used for: (Choose the correct alternative)
(a) Median (b) Mode
(c) Mean (d) None of these
115. “The sum of deviations from the mean is zero.” – is the mathematical property of mean. (True/False)
116. “The mean of the two samples can be combined.” – is the mathematical property of mean. (True/False)
117. “Choices of assumed mean does not affect the actual mean.” (True/False)
118. “In a moderately asymmetric distribution mean can be found out from the given values of median
and mode.” (True/False)
119. Mean of 0, 3, 5, 6, 7, 9, 12, 0, 2 is: (Choose the correct alternative)
(a) 4.9 (b) 5.7
(c) 5.6 (d) None of these

188
120. Median of 15, 12, 6, 13, 12, 15, 8, 9 is: (Choose the correct alternative)
(a) 13 (b) 8
(c) 12 (d) 9
121. Median of 0.3, 5, 6, 7, 9, 12, 0, 2 is: (Choose the correct alternative)
(a) 7 (b) 6
(c) 3 (d) 5
122. Mode of 0, 3, 5, 6, 7, 9, 12, 0, 2 is: (Choose the correct alternative)
(a) 6 (b) 0
(c) 3 (d) 5
123. Mode of 15, 12, 5, 13, 12, 15, 8, 8, 9, 9, 10, 15 is: (Choose the correct alternative)
(a) 15 (b) 12
(c) 8 (d) 9
124. Median of 40, 50, 30, 20, 25, 35, 30, 30, 20, 30 is: (Choose the correct alternative)
(a) 25 (b) 30
(c) 35 (d) None of these
125. Mode of 40, 50, 30, 20, 25, 35, 30, 30, 20, 30 is: (Choose the correct alternative)
(a) 25 (b) 30
(c) 35 (d) None of these
126. Mean of 25, 32, 43, 53, 62, 59, 48, 31, 24, 33 is: (Choose the correct alternative)
(a) 44 (b) 43
(c) 42 (d) 41
127. If the same amount is added to or subtracted from all the values, the mean shall increase or
decrease by the ________ amount. (Choose the correct alternative)
(a) big (b) small

Statistics for Economics XI – by Subhash Dey


(c) same (d) None of these
128. If each item is reduced by 15 Arithmetic Mean is _________. (Choose the correct alternative)
(a) reduced by 15 (b) increased by 15
(c) reduced by 30 (d) reduced by 7.5
129. For finding Arithmetic Mean in step-deviation method, the class intervals should be of ____. Fill in
the blank.
130. The Arithmetic Mean of 1, 3, 5, 6, x, 10 is 6 . The value of x is _______. Fill in the blank.
131. For the values of a variable 5, 2, 8, 3, 7, 4, the median is _______. Fill in the blank.
132. The value of mode of the following distribution is _______. Fill in the blank.
Variable 2 3 4 5 6 7
Frequency 5 6 8 13 7 4
133. The class having maximum frequency is called: (Choose the correct alternative)
(a) modal class (b) median class
(c) mean class (d) All of these
134. For determination of mode, the class intervals should be ______. (Choose the correct alternative)
(a) overlapping (b) maximum
(c) minimum (d) None of these
135. For the values of a variable 3, 1, 5, 2, 6, 8, 4 the median is: (Choose the correct alternative)
(a) 3 (b) 5
(c) 4 (d) None of these

189
136. The median of the numbers 11, 10, 12, 13, 9 is _______. (Choose the correct alternative)
(a) 12.5 (b) 12
(c) 10.5 (d) 11
137. The mode of the numbers 7, 7, 7, 9, 10, 11, 11, 11, 12 is: (Choose the correct alternative)
(a) 11 (b) 12
(c) 7 (d) Both (a) and (c)
138. Construction of a cumulative frequency table is useful in determining the ________.
(Choose the correct alternative)
(a) mean (b) median
(c) mode (d) All of these

139. Find the mean of the following distribution is ____________. Fill up the blank.
Class 1-3 3-5 5-7 7-10
Frequency 9 22 27 17

140. The maximum bowling speeds, in km per hour, of 33 players at a cricket coaching centre are given
as follows. The median bowling speed is ______________. Fill up the blank.
Speed (km/h) 85-100 100-115 115-130 130-145
No. of players 11 9 8 5

141. The weight of coffee in 70 packets are shown in the following table. The modal weight is
Chapter 5 – Measures of Central Tendency

____________. Fill up the blank.


Weight (in gm) 200-201 201-202 202-203 203-204 204-205 205-206
No. of packets 12 26 20 9 2 1

142. Consider the following frequency distribution of the heights of 60 students of a class:
Height (in cm) 150-155 155-160 160-165 165-170 170-175 175-180
No. of students 15 13 10 8 9 5
The sum of the lower limit of the modal class and upper limit of the median class is:
(Choose the correct alternative)
(a) 310 (b) 315
(c) 320 (d) 330
Σfd
143. In the formula X= A + , for finding the mean of grouped data d is deviation from A of:
Σf
(Choose the correct alternative)
(a) lower limits of the classes
(b) upper limits of the classes
(c) mid points of the classes
(d) frequencies of the class marks

190
144. While computing mean of grouped data, we assume that the frequencies are:
(Choose the correct alternative)
(a) evenly distributed over all the classes
(b) centred at the classmarks of the classes
(c) centred at the upper limits of the classes
(d) centred at the lower limits of the classes
145. For the following distribution: (Choose the correct alternative)
Class 0-5 5-10 10-15 15-20 20-25
Frequency 10 15 12 20 9
The sum of lower limits of the median class and modal class is:
(a) 15 (b) 25
(c) 30 (d) 35
146. Consider the following frequency distribution:
Class 0-5 6-11 12-17 18-23 24-29
Frequency 13 10 15 8 11
The upper limit of the median class is: (Choose the correct alternative)
(a) 17 (b) 17.5
(c) 18 (d) 18.5
147. For the following distribution:
Marks Below 10 Below 20 Below 30 Below 40 Below 50 Below 60
No. of students 3 12 27 57 75 80

Statistics for Economics XI – by Subhash Dey


The Modal class is: (Choose the correct alternative)
(a) 10-20 (b) 20-30
(c) 30-40 (d) 50-60
148. Consider the data:
Class 65-85 85-105 105-125 125-145 145-165 165-185 185-205
Frequency 4 5 13 20 14 7 4
The difference of the upper limit of the median class and the lower limit of the modal class is:
(Choose the correct alternative)
(a) 0 (b) 19
(c) 20 (d) 38
149. The times, in seconds, taken by 150 atheletes to run a 110 m hurdle race are tabulated below:
Class 13.8-14 14-14.2 14.2-14.4 14.4-14.6 14.6-14.8 14.8-15
Frequency 2 4 5 71 48 20
The number of atheletes who completed the race in less then 14.6 seconds is:
(Choose the correct alternative)
(a) 11 (b) 71
(c) 82 (d) 130

191
150. Consider the following distribution:
Marks obtained No. of students
More than or equal to 0 63
More than or equal to 10 58
More than or equal to 20 55
More than or equal to 30 51
More than or equal to 40 48
More than or equal to 50 42
The frequency of the class 30-40 is: (Choose the correct alternative)
(a) 3 (b) 4
(c) 48 (d) 51
151. Is it correct to say that an ogive is a graphical representation of a frequency distribution? Give reason.
152. The median of an ungrouped data and the median calculated when the same data is grouped are
always the same. Do you think that this is a correct statement? Give reason.
153. In calculating the mean of grouped data, grouped in classes of equal width, we may use the formula
Σfd
X= A + , where A is the assumed mean. a must be one of the mid-points of the classes. Is the last
Σf
statement correct? Justify your answer.
154. Will the median class and modal class of grouped data always be different? Justify your answer.
Chapter 5 – Measures of Central Tendency

Exercises
1. Explain briefly the three commonly used averages or measures of central tendency. (6 marks)
2. What is ‘arithmetic mean’? How is arithmetic mean calculated for grouped data in case of continuous series? Which
method is the best if the number of observations in data is more and/or figures are large? How? (4 marks)
3. What is ‘median’? Explain the method of calculating median in case of:
(a) discrete series (b) continuous series (3 marks)
4. What is ‘mode’? How is it computed in case of:
(a) discrete series (b) continuous series? (4 marks)
5. Explain briefly about relative position of arithmetic mean, median and mode in the following cases:
(a) When the distribution is symmetric, and
(b) When the distribution is asymmetric. (3 marks)
6. State any three merits and demerits of arithmetic mean. (3 marks)
7. State any three merits and demerits of median. (3 marks)
8. State any three merits and demerits of mode. (3 marks)
9. Explain the differences between the three commonly used averages or measures of central tendency. (6 marks)

192

Chapter 5: Measures of Central Tendency


Time allowed : 1 hour 30 minutes Maximum Marks : 50
1. Madhav is a farmer. He grows food grains in his land in a village called Ghatal in Midnapur district of West
Bengal. The village consists of 50 small farmers. Madhav has 1 acre of land. You are interested to see if the land
owned by Madhav is above the size of what half the farmers own. Which of the following measure of central
tendency would you use? (Choose the correct alternative) (1)
(a) Arithmetic Mean (b) Median
(c) Quartile (d) Mode
2. Baiju is a farmer. He grows food grains in his land in a village called Balapur in Buxar district of Bihar. The
village consists of 100 small farmers. Baiju has 2 acre of land. You are interested to see if the land owned by
Baiju is above what most of the farmers own. Which of the following measure of central tendency would you
use? (Choose the correct alternative) (1)
(a) Arithmetic Mean (b) Median
(c) Quartile (d) Mode
3. A shoe company, making shoes for adults only, wants to know the most popular size of shoes. Which average
will be most appropriate for it?
4. In a class of 50 students, 10 have failed and their average of marks is 2.5. The total marks secured by the entire
class were 281. What is the average marks of those who have passed? (Choose the correct alternative) (1)
(a) 2.5 (b) 3.12
(c) 6.4 (d) 7.025

Statistics for Economics XI – by Subhash Dey


5. The mean wage of total 100 workers in a factory `284. The mean wage of 70 male workers is `290. What is the
mean wage of the female workers? (Choose the correct alternative) (1)
(a) `6 (b) `574
(c) `270 (d) `8,100
6. Suppose there are two commodities, mangoes and potatoes. We are interested in finding the average price of
mangoes and potatoes. However, we may want to give more importance to the rise in price of potatoes. Which
of the following should be calculated? (Choose the correct alternative) (1)
(a) Arithmetic Mean (b) Weighted Mean
(c) Median (d) Mode
7. Plots in a housing colony come in only three sizes: 100 sq. metre, 200 sq. meters and 300 sq. metre and the
number of plots are respectively 200, 50 and 10.
What is the mean plot size? (Choose the correct alternative) (1)
(a) 200 sq. meters (b) 86.67 sq. meters
(c) 126.92 sq. meters (d) None of these
8. Suppose we have the following observation in a data set:
5, 7, 6, 1, 8, 10, 12, 4, and 3.
In the above data if 12 is replaced by 20, the value of median is unaffected. True/False? Give reason. (1)
9. A manufacturer would like to know the size of shoes that has maximum demand or style of the shirt that is
more frequently demanded. Here, _________ is the most appropriate measure. (Choose the correct alternative) (1)
(a) Arithmetic mean (b) Geometric mean
(c) Median (d) Mode

193
10. Is it possible that there may be no mode of a data? Give reason in support of your answer.
11. The following is the histogram constructed from the frequency distribution of a variable. What may such data
be called? (Choose the correct alternative) (1)

Frequency
Variable

(a) Unimodal data (b) Bi-modal data


(c) Multi-modal data (d) All of these
12. For a moderately skewed distribution, which of the following relationship holds? (Choose the correct alternative) (1)
(a) Mean – Mode = 3 (Mean – Median)
(b) Median – Mode = 3 (Mean – Median)
(c) Mean – Median = 3 (Mean – Mode)
(d) Mean – Median = 3 (Median – Mode)
13. Which of the following measure(s) satisfies (satisfy) a linear relationship between two variables?
(Choose the correct alternative) (1)
(a) Mean (b) Median
(c) Mode (d) All of these
14. The average salary of a group of unskilled workers is ` 10,000 and that of a group of skilled workers is `15,000.
If the combined salary is ` 12,000, then what is the percentage of skilled workers?(Choose the correct alternative) (1)
(a) 40% (b) 50%
(c) 60% (d) None of these
Chapter 5 – Measures of Central Tendency

15. When all observations occur with equal frequency _________ does not exit. (Choose the correct alternative) (1)
(a) median (b) mode
(c) mean (d) None of these
16. The mean of the first ‘n’ natural numbers is: (Choose the correct alternative) (1)
(a) n/2 (b) (n – 1)/2
(c) (n + 1)/2 (d) None of these
17. Arithmetic mean = Assumed mean + Arithmetic mean of deviations from assumed mean. (True/False) (1)
18. The abscissa (i.e. x-coordinate) of the maximum frequency in the frequency curve is the ________.
(Choose the correct alternative) (1)
(a) mean (b) median
(c) mode (d) None of these
19. Average age of 20 students in a class is 18 years. One student whose age is 24 year has left the class. Find out
average age of rest of the students.
20. Average marks of 50 students were 45. Later on it was discovered that marks of a student which were 75 were
not included. Find out correct average marks.
21. Two distributions with 100 and 200 items have arithmetic mean of 20 and 10. Find mean of two distributions.
22. The mean of a symmetric distribution is 22.5 if mode is 30 and median is 25. True/False? Give reason. (1)
23. Average daily wage of 50 workers of a factory was 200. Each worker is given a raise of 20. What is the new
average daily wage?

194
24. The sum of deviations of a certain number of items measured from 4 is 72 and the sum of the deviations of
the items from 7 is –3. Find the number of items and their mean.
25. The average rainfall of a city from Monday to Saturday is 0.3 cms. Due to heavy rainfall on Sunday, the average
for the whole week rose to 0.5cms. How much was the rainfall on Sunday?
26. Average marks of 20 students are 50 whose details are given below. Due to spread of ink marks of one student
cannot be read. Find out those marks. (3)
Marks 30 35 40 ? 50 75
No. of students 1 2 3 4 6 4
27. The average marks of 50 students ixn class is 5. The pass result of 40 students who took up a class test is given
below. Calculate means marks of 10 students who failed. (3)
Marks 4 5 6 7 8 9
No. of students 8 10 9 6 4 3
28. The values of mean and median for the following data are: (3)
Marks 5-14 15-24 25-34 35-44 45-54 55-64
No. of students 10 18 32 36 14 10
(a) 30 and 28 (b) 29 and 30
(c) 33.68 and 37.94 (d) 34.21 and 33.18
29. The mean and mode for the following frequency distribution are: (3)
Class Interval 350-369 370-389 390-409 410-429 430-449 450-469
Frequency 15 27 31 19 13 6
(a) 400 and 390 (b) 400.58 and 390
(c) 400.58 and 394.50 (d) 400 and 394.3
30. The median and modal profits for the following data are: (3)
Profit in ’000 Below 5 Below 10 Below 15 Below 20 Below 25 Below 30

Statistics for Economics XI – by Subhash Dey


No. of firms 10 25 45 55 62 65
(a) `11.60 and `11.50 (b) `11,556 and `11,267
(c) `11,875 and `11,667 (d) `11.50 and `11.67
31. Following is an incomplete distribution having modal mark as 44. What would be the mean marks? (3)
Marks 0 - 20 20 - 40 40 - 60 60 - 80 80 - 100
No. of students 5 18 ? 12 5
(a) 45 (b) 46
(c) 47 (d) 48
32. The mode of the following distribution is `66. What would be the median wage? (3)
Daily wage (in `) 30-40 40-50 50-60 60-70 70-80 80-90
Number of workers 8 16 22 28 ? 12
(a) `64 (b) `64.56
(c) `62.32 (d) `64.25
33. For the following incomplete distribution of marks of 100 students, median marks is known to be 32. What is
the mean marks? (4)
Marks 0-10 10-20 20-30 30-40 40-50 50-60
No. of students 10 ? 25 30 ? 10
(a) 32 (b) 31
(c) 31.3 (d) 31.5

195
Self Assessment Test 1

Measures of Central Tendency


Time allowed : 1 hour Maximum Marks : 25
Q.1 For a skewed distribution, if arithmetic mean is 40 and median is 48 then mode is 64.
True/False? Give reason. (1 mark)
Q.2 The most common used measure of central tendency is: (Choose the correct alternative) (1 mark)
(a) Median (b) Mode
(c) Arithmetic mean (d) Quartile

Q.3 Sum of deviations about mean is: (Choose the correct alternative) (1 mark)
(a) Zero (b) One
(c) Minimum (d) Maximum

Q.4 The most suitable average for qualitative measurement is: (Choose the correct alternative) (1 mark)
(a) Arithmetic Mean (b) Median
(c) Mode (d) Weighted Mean

Q.5 Which average is affected mostly by the extreme values? (Choose the correct alternative) (1 mark)
(a) Arithmetic Mean (b) Median
(c) Mode (d) All of these

Q.6 In the following frequency distribution, find the missing frequency.


Marks 10-20 20-30 30-40 40-50 50-60 60-70 70-80
No. of students 5 3 4 7 ? 6 13
Chapter 5 – Measures of Central Tendency

The arithmetic mean of the distribution if 52. (3 marks)

Q.7 What is ‘weighted arithmetic mean’? When and why is it calculated? (3 marks)

Q.8 Explain the following properties of arithmetic mean with examples: (4 marks)
(a) The sum of deviations of items about arithmetic mean is always equal to zero.
(b) Arithmetic Mean is affected by extreme values. Any large value, on either end, can push it up or down.

Q.9 Find the median of the following data. Also, interpret the result. (4 marks)
Age (More than) 0 10 20 30 40 50 60 70
No. of Persons 230 218 200 165 123 73 28 8

Q.10 Calculate arithmetic mean for the following data: X:  4  6  8  10  12
(a) If mean is increased by 2, then what happens to the sum of the observations?
(b) If first three items increase by 2, then what should be the sum of the last two items, so that mean remains
the same?
(c) Replace the value 12 by 96. What happens to the arithmetic mean? Comment. (6 marks)

196
Self Assessment Test 2

Measures of Central Tendency


Time allowed : 1 hour Maximum Marks : 25
Q.1 Which of the following is a positional average? (Choose the correct alternative) (1 mark)
(a) Arithmetic mean (b) Mode
(c) Median (d) All of these
Q.2 Five students obtained 100, 200, 300, 400 and 500 marks. What is the mean marks?
(Choose the correct alternative) (1 mark)
(a) 300 (b) 400
(c) 250 (d) 350
Q.3 In India, shoe-size of most of the women is no. 7. Which measure of central tendency represents it?
(Choose the correct alternative) (1 mark)
(a) Mean (b) Median
(c) Mode (d) Quartile
Q.4 Find the correct option from the following: (Choose the correct alternative) (1 mark)
(a) 3 Median = Mode + 2 Mean (b) Mode= 2 Median – 3 Mean
(c) Median = 3 Mode – 2 Mean (d) Mean = 3 Median – 2 Mode
Q.5 The values of all items are taken into consideration in the calculation of: ( Choose the correct alternative) (1 mark)
(a) Mean (b) Median
(c) Mode (d) Quartile

Q.6 Calculate arithmetic mean using assumed mean method with the help of following data: (3 marks)

Statistics for Economics XI – by Subhash Dey


Mid value 5 15 25 35 45
Frequency 4 8 10 6 2

Q.7 Which average or measure of central tendency should be used summarise the data? Explain. (3 marks)

Q.8 Find the median of the following data. Also, interpret the result. (4 marks)
Age (in years) 20-25 25-30 30-35 35-40 40-45 45-50 50-55 55-60
No. of Persons 50 70 100 180 150 120 70 60

Q.9 Calculate the value of mode for the following data by grouping method: (4 marks)
Value 8 9 10 11 12 13 14 15
Frequency 5 6 8 7 9 8 9 6

Q.10 Calculate median and mode of the following data and hence using the emperical relationship between the
measures of central tendency find the value of arithmetic mean. (6 marks)
Marks 10-19 20-29 30-39 40-49 50-59
No. of students 3 5 9 3 2

197
Self Assessment Test 3

Chapter 1: Introduction
Chapter 2: Collection of Data
Chapter 3: Organisation of Data
Chapter 4: Presentation of Data
Chapter 5: Measures of Central Tendency
Time allowed : 1 hour 30 minutes Maximum Marks : 40
Q.1 The middle most value of an arranged series is known as ________. (Fill up the blank) (1 mark)
Q.2 The value of a variable that occur most often is known as: (Choose the correct alternative) (1 mark)
(a) Median (b) Mode
(c) Arithmetic mean (d) Quartile
Q.3 Which measure of central tendency cannot be calculated by graphic method?
(Choose the correct alternative) (1 mark)
(a) Median (b) Mode
(c) Arithmetic mean (d) Quartile
Q.4 ________ is based on all the items of the distribution. (Mode/Mean) (Choose the correct option) (1 mark)
Q.5 ________ arithmetic mean gives relative importance to each item. (simple/weighted)
(Choose the correct option) (1 mark)
Q.6 The average marks in statistics obtained by 30 students is 52. The average marks of top 6 students is 31.
Calculate average marks of the remaining students. (1 mark)
Q.7 The average marks of 100 students were found to be 40. Later on it was discovered that a score of 53 was
misread as 83. Find the correct mean. (1 mark)
Chapter 5 – Measures of Central Tendency

Q.8 The abscissa (i.e. x-coordinate) of the point of intersection of the less than type and of the more than type
cumulative frequency curves of a grouped data gives its: (Choose the correct alternative) (1 mark)
(a) Mean (b) Median
(c) Mode (d) All of these
Q.9 The mean of ungrouped data and the mean calculated when the same data is grouped are always the same. Do
you agree with this statement? Give reason for your answer. (1 mark)

Q.10 Is it true to say that the mean, mode and median of grouped data will always be different? Justify your answer.
(1 mark)

Q.11 Show that the sum of deviations of the observation from their arithmetic mean is zero with the help of suitable
example. (3 marks)

Q.12 Which average would be suitable in the following cases? (3 marks)


(a) Average production in factory per shift.
(b) Average wages in an industrial concern.
(c) In case of open ended frequency distribution
(d) Average size of readymade garments.
(e) Average intelligence of students in a class.
(f ) In problems where individual observations are not important, and we wish to find out a typical observation.

198
Q.13 The marks obtained by 25 students in Economics and Mathematics are given below. The first figure in brackets
indicates the marks in Economics and the second marks in Mathematics:
(14, 12) (0, 2) (1, 5) (7, 3) (15, 9)
(2, 8) (12, 18) (9, 11) (5, 3) (17, 13)
(19, 18) (11, 7) (10, 13) (13, 16) (16, 14)
(6, 10) (4, 1) (11, 14) (8, 3) (9, 14)
(13, 11) (14, 17) (0, 10) (11, 7) (15, 15)
Prepare a bivariate frequency distribution taking the class interval as 4 marks, the first being equal to 0 and less
than 4. (4 marks)

Q.14 What do you think about the following questions? Do you find any problem with these questions? Describe.
(i) How far do you live from the closest market?
(ii) If plastic bags are only 5 per cent of our garbage, should it be banned?
(iii) Wouldn’t you be opposed to increase in price of petrol?
(iv) • Do you agree with the use of chemical fertilisers?
• Do you use fertilisers in your fields?
• What is the yield per hectare in your field? (4 marks)
Q.15 Explain briefly any four functions of Statistics. (4)

Q.16 The arithmetic mean of the data given below is 28,000. Find (a) the missing frequency, and (b) the median of
the series. (6 marks)

Profit per retail shop (in `000) 0-10 10-20 20-30 30-40 40-50 50-60
No. of retail shops 12 18 27 ? 17 6

Q.17 Calculate median and mode of the following data arithmetically and graphically: (6 marks)

Statistics for Economics XI – by Subhash Dey


Marks 0-10 10-20 20-30 30-40 40-50 50-60
No. of students 6 11 20 12 6 5

199
Check List to Objective Type Questions
1. averages appears more frequent than any other value in the
2. (a) Arithmetic Mean, Median and Mode distribution.
3. (a) Arithmetic mean 27. (a) Unimodal data
4. number of observations 28. symmetrical
5. 78 29. median, arithmetic mean, mode
6. (b) zero 30. (d) Both (b) and (c)
7. (b) 1.7 inch. 31. (d) Mode
Hint: Total rainfall for 6 days (Monday to Saturday) = 32. (d) Both (b) and (c)
0.3 × 6 = 1.8 inch. 33. (d) Both (b) and (c)
Total rainfall for 7 days (including Sunday) = 0.5 × 7 34. True
= 3.5 inch. 35. True
Rainfall on Sunday = 3.5 – 1.8 = 1.7 inch. 36. False
8. (a) 52.36 kg 37. True
Hint: (52 × 25 – 45 + 54)/25 = 52.36 38. False
9. (b) 90 marks 39. symmetric
Hint: (81 × 10 + 92 – 56 – 36 )/9 = 90 40. An average or a measure of central tendency
10. (d) 27.5 41. Arithmetic mean
Hint: Mode = 3 Median – 2 Mean 42. (b) The central location of the observations
35 = 3 × 30 – 2 Mean 43. (c) All the values of a class are equal to the mid-value
2 Mean = 90 – 35 = 55 of that class
Mean = 55/2 = 27.5 44. Arithmetic Mean
11. (b) 30 45. (c) Median
Hint: For a symmetrical distribution, mean = median 46. (b) Median
= mode.
47. (b) The simple average of these two middle values
12. (a) Arithmetic Mean
48. (a) Arithmetic Mean
Chapter 5 – Measures of Central Tendency

13. (a) direct method


49. (c) Mode
14. centrally located value
50. (c) All the observations are not of equal importance
15. Common factor
51. (b) Median
16. common factor ‘c’
17. mid-points/mid values 52. (b) 7
18. (b) Median 53. (b) 10
19. True: Since the median is determined by the position 54. (c) 54
of different values, it remains unaffected if, say, the 55. (b) three
size of the largest value increases. 56. (d) 0
th 57. 0
20. position, (N + 1) item 58. (d) median
2
59. True
21. cumulative frequency, Sf
60. (d) 6
( )
th
22. N 61. (b) Mode
2 62. (a) total frequency
23. (b) Median 63. (d) 4
24. (d) mode 64. (a) 2
25. highest 65. (b) unweighted average
26. True: It may be possible to have data with two modes 66. True
(called bi-modal data). The data may also have more 67. simple average
than two modes (called multi-modal data). It may 68. weighted average
be possible that there may be no mode if no value

200
69. weighted average 115. True
70. weights 116. True
71. simple average 117. True
72. (b) weights 118. True
73. (a) 0 119. (a) 4.9
74. True 120. (c) 12
75. (a) 5 121. (d) 5
76. (a) Median 122. (b) 0
77. (b) Mean 123. (a) 15
78. (a) Median 124. (b) 30
79. (a) mode 125. (b) 30
80. (c) Median 126. (d) 41
81. (a) Mode 127. (c) same
82. (c) Modal class 128. (a) reduced by 15
83. equal or unequal 129. equal length
84. (b) median 130. 11
85. coincide 131. 4.5
86. (b) Normal distribution 132. 5
87. (c) Median 133. (a) modal class
88. (c) Median 134. (a) overlapping
89. (c) Median 135. (c) 4
90. (c) Median 136. (d) 11
91. (a) (n + 1)/2 137. (d) Both (a) and (c)
92. Median 138. (b) median
93. Median 139. 5.5

Statistics for Economics XI – by Subhash Dey


94. (b) 5 140. 109.17 km/h
95. (a) 4 141. 201.7 kg
96. (a) central value 142. (b) 315
97. Averages 143. (c) mid points of the classes
98. True 144. (b) centred at the classmarks of the classes
99. (d) 8 145. (b) 25
100. (c) 0 146. (b) 17.5
101. True 147. (c) 30-40
102. (b) median, median 148. (c) 20
103. (d) 37 149. (c) 82
104. (a) average of two middle values 150. (a) 3
105. (c) n/2th 151. Graphical representation of a frequency distribution
106. (a) 66–68 may not be an ogive. It may be a histogram. An
107. Median ogive is a graphical representation of cumulative
108. (b) modal frequency distribution.
109. (a) Median 152. Not always, because for calculating median of

a grouped data, the formula used is based on the
110. (b) median
assumption that the observations in the classes are
111. (d) None of these
uniformly distributed (or equally spaced).
112. (c) no
153. Not necessary, the mean of the data does not

113. (b) Mean depend on the choice of a (assumed mean).
114. (a) Median 154. Not always. It depends on the data.

201
Chapter 5 – Measures of Central Tendency

Notes

202
Measures of Dispersion

Statistics for Economics XI – by Subhash Dey


CBSE Syllabus 2020-21
 Absolute dispersion (range, quartile deviation, mean deviation and
standard deviation) 6
 Relative dispersion (co-efficient of range, co-efficient of quartile-deviation,
co-efficient of mean deviation, co-efficient of variation)
Chapter
Learning Objectives
Studying this chapter should enable you to:
 know the limitations of averages;
 appreciate the need for measures of dispersion;
 enumerate various measures of dispersion;
 calculate the measures and compare them;
 distinguish between absolute and relative measures.

203
Introduction
In the previous chapter, you have studied how to sum up the data into a single representative value – mean,
median or mode. However, that value does not reveal the variability present in the data.
In this chapter you will study those measures, which seek to quantify variability of the data.
Example: Three friends, Ram, Rahim and Maria are chatting over a cup of tea. During the course of their
conversation, they start talking about their family incomes.
Ram tells them that there are four members in his family and the average income per member is `15,000.
Rahim says that the average income is the same in his family, though the number of members is six. Maria
says that there are five members in her family, out of which one is not working. She calculates that the average
income in her family too, is `15,000.
They are a little surprised since they know that Maria’s father is earning a huge salary. They go into details and
gather the following data:
Family Incomes (in `)
S. No. Ram Rahim Maria
1. 12,000 7,000 0
2. 14,000 10,000 7,000
3. 16,000 14,000 8,000
4. 18,000 17,000 10,000
5. – 20,000 50,000
6. – 22,000 –
Total income 60,000 90,000 75,000
Average income 15,000 15,000 15,000

Limitations of averages
 It is quite obvious that averages try to tell only one aspect of a distribution, i.e. a representative size of
Chapter 6 – Measures of Dispersion

the values.
 They do not reveal the variability present in the data.
In the above example, although the average is the same, there are considerable differences in individual incomes.
Thus, knowledge of only average is insufficient.
Need for measures of dispersion
To reveal the variability present in the data, we need to know the dispersion (also known as spread or variation)
of values. An average is more meaningful when it is examined in the light of dispersion.
You can see that:
In Ram’s family, differences in incomes are comparatively lower;
In Rahim’s family, differences are higher; and
In Maria’s family, the differences are the highest.
Measures of dispersion reflect the quantum of variation in values. So our understanding of a distribution
improves considerably. For example, per capita income gives only the average income.
A measure of dispersion can tell you about income inequalities, thereby improving the understanding of the
relative standards of living enjoyed by different strata of society.

204
Dispersion is the extent to which values in a distribution differ from the average of the distribution.
To quantify the extent of the variation, there are certain measures namely:
1. Range 2. Quartile Deviation
3. Mean Deviation 4. Standard Deviation

Measures of Dispersion

Based upon spread of values Based upon spread of values

Range Quartile Deviation Range Quartile Deviation

Range and quartile deviation measure the dispersion by calculating the spread within which the values lie.
Mean deviation and standard deviation calculate the extent to which the values differ from the average.
Absolute and Relative Measures of Dispersion
Absolute Measures of Dispersion Relative Measures of Dispersion
Absolute measures of dispersion (Range, Quartile Relative measures of dispersion (Coefficient of range,
Deviation, Mean Deviation and Standard Deviation) give Coefficient of Quartile Deviation, Coefficient of Mean
the answer in the units in which data are expressed. Deviation and Coefficient of variation) are free from these
Every absolute measure of dispersion has a relative units, and consequently can be used to compare different
counterpart. variables.
Limitations of Absolute Measures of Dispersion

Statistics for Economics XI – by Subhash Dey


1. Absolute measures of dispersion may give misleading ideas about the extent of variation specially when
the averages differ significantly. They calculate a value which, at times, is difficult to interpret. For example,
consider the following two data sets:
X 500 700 1,000
Y 1,00,000 1,20,000 1,30,000
Suppose the values of X are the daily sales recorded by an ice-cream vendor, while the values of Y are the
daily sales of a big departmental store.
Range of X (i.e. largest value – smallest value) = 1,000 –500 = 500 whereas, Range of Y = 1,30,000 – 1,00,000
= 30,000. The value of Range of Y is much higher than the value of Range of X.
On this basis, can we say that the variation in sales is higher for the departmental store?
It can be easily observed that the highest value of X (1,000) is double the smallest value( 500), whereas the
highest value of Y (1,30,000) is only 30% higher than the smallest value (1,00,000).
2. They give the answer in the units in which original values are expressed. Consequently, if the values are
expressed in kilometers, the dispersion will also be in kilometers. However, if the same values are expressed
in meters, an absolute measure will give the answer in meters and the value of dispersion will appear to be
1000 times.
To overcome the limitations of the absolute measures, relative measures of dispersion can be used. Relative
measures are free from the units in which the values have been expressed. So they can be compared even
across different groups having different units of measurement.

205
6.1 Range and Coefficient of Range
Range
Range (R) is the difference between the largest value (L) and the smallest value (S) in a distribution.
R=L–S

Top Tip
Higher value of range implies higher dispersion and vice-versa.

Coefficient of Range
For range, there is coefficient of range which is calculated as follows:

Coefficient of Range = L − S
L+S

Ungrouped Data/Individual Series

Example 1

Consider the following values: 20, 30, 40, 50, 200. Calculate the Range and Coefficient of Range. (1 mark)
Solution: Range (R) = Largest value (L) – Smallest value (S) = 200 – 20 = 180
200 − 20 180
Coefficient of range = = = 0.82
200 + 20 220

Do it yourself 1
The following students have scored in economics as under. Find out the range and coefficient of range: (1 mark)
Chapter 6 – Measures of Dispersion

Student’s S.No. 1 2 3 4 5 6 7
Marks Scored 20 50 75 25 80 40 60

[Ans. Range = 60 and Coefficient of Range = 0.6]

Discrete Series (Grouped Data)

Example 2

Calculate the Range and Coefficient of Range. (1 mark)


Income (in `) 100 200 300 400
No. of persons 2 4 10 4

Solution: Range (R) = Largest income (L) – Smallest income (S) = 400 – 100 = `300
400 − 300 100
Coefficient of range = = = 0.143
400 + 300 700

206
Do it yourself 2
From the following data, calculate range and coefficient of range: (1 mark)
Marks 10 20 30 40 50 60 70
No. of students 8 12 7 30 10 5 2

[Ans. Range = 60 and Coefficient of Range = 0.75]

Continuous Series (Grouped Data)


In case of continuous series, range is just the difference between the upper limit of the highest class and the
lower limit of the lowest class.
Range = Upper limit of the highest class (L) – Lower limit of the lowest class (S)

Example 3

Calculate the Range and Coefficient of range: (1 mark)


Daily wages (in `) 200-250 250-300 300-350 350-400 400-450 450-500 500-550 550-600
No. of workers 14 28 33 30 20 15 13 7

Solution: Range = Upper limit of the highest class (L) – Lower limit of the lowest class (S) = 600 – 200 = `400
Coefficient of range = 600 − 200 400
= = 0.5
600 + 200 800

Statistics for Economics XI – by Subhash Dey


Do it yourself 3
Find out range and coefficient of range of the following series: (1 mark)
Size 5-10 10-15 15-20 20-25 25-30
Frequency 4 9 15 30 40

[Ans. Range = 25 and Coefficient of Range = 0.714]

Example 4

Calculate the Range and Coefficient of range: (3 marks)


Weight (in grams) 410-419 420-429 430-439 440-449 450-459 460-469 470-479
No. of apples 14 20 42 54 45 18 7

Solution: For calculating range, we must convert the given inclusive series into an exclusive series.
Weight (in grams) 409.5-419.5 419.5-429.5 429.5-439.5 439.5-449.5 449.5-459.5 459.5-469.5 469.5-479.5
No. of apples 14 20 42 54 45 18 7

Range = Upper limit of the highest class (L) – Lower limit of the lowest class (S) = 479.5 – 409.5 = 70 grams
479.5 − 409.5 70
Coefficient of range = = = 0.0787
479.5 + 409.5 889

207
Do it yourself 4
Find out range and coefficient of range for the following data: (3 marks)
Marks 20-29 30-39 30-39 50-59 60-69
No. of students 4 9 9 30 40

[Ans. Range = 50 and Coefficient of Range = 0.56]

Comments:Range
Comments: Range

1. Range is unduly affected by extreme values. It is not based on all the values.
If the value 200 is not present in the data set given in the above example, Range  = 50 – 20 = 30.
Thus, the presence of even one extremely high or low value in a distribution can reduce the utility
of range as a measure of dispersion.
2. As long as the minimum and maximum values remain unaltered, any change in other values
does not affect range. If 50 is replaced by 150 in the above example, Range = 200 – 20 = 180.
Thus, it remains unchanged.
3. Range cannot be calculated for open-ended frequency distribution. Open-ended distributions are
those in which either the lower limit of the lowest class or the upper limit of the highest class or
both are not specified. For example,
Wages (` per month) No. of workers
Less than 10,000 14
10,000–12,000 26
12,000–14,000 6
More than 14,000 4

4. Range is understood and used frequently because of its simplicity. Range is the simplest to
Chapter 6 – Measures of Dispersion

calculate and understand. For example, we see the maximum and minimum temperatures of different
cities almost daily on our TV screens and form judgments about the temperature variations in them.

6.2 Quartiles, Quartile Deviation and Coefficient of Quartile Deviation


The presence of even one extremely high or low value in a distribution can reduce the utility of range as a
measure of dispersion. Thus, we may need a measure which is not unduly affected by the outliers or extreme
values. In such a situation, if the entire data is divided into four equal parts, each containing 25% of the
values, we get the values of quartiles and median.
Quartiles are the measures which divide the data into four equal parts, each portion contains equal
number of observations. There are three quartiles:
1. The first Quartile (denoted by Q1) or lower quartile: It has 25% of the items of the distribution below
it and 75% of the items are greater than it.
2. The second Quartile (denoted by Q2) or median: It has 50% of items below it and 50% of the
observations above it.
208
3. The third Quartile (denoted by Q3) or upper Quartile: It has 75% of the items of the distribution
below it and 25% of the items above it.
Thus, Q1 and Q3 denote the two limits within which central 50% of the data lies.

Ungrouped Data/Individual Series


The value of Q1 and Q3 of an ordered series can be obtained by the following formula:

( )
th th
N +1 3(N + 1) 
Q1= size of item Q3 = size of   item
4  4 
      
where, N is the number of observations.

Statistics for Economics XI – by Subhash Dey


The upper and lower quartiles (Q3 and Q1, respectively) are used to calculate Inter-quartile range = Q3 – Q1.
Inter-quartile range is based upon middle 50% of the values in a distribution and is, therefore, not affected
by extreme values.
Half of the inter-quartile range is called Quartile Deviation (Q.D.).

Q 3 − Q1
Q .D. =
2

Q.D. is, therefore, also called Semi-Inter Quartile Range.

Quartile Deviation (Q.D.) is the average difference of the quartiles from the median (Q2).
( Q 3 − Q 2 ) + (Q 2 − Q 1 ) = Q 3 − Q 1
2 2
For example, suppose we have data about incomes of people of a town. Median income of all people can
be calculated. Now, if all people are divided into two equal groups of rich and poor, medians of both groups
can be calculated. Quartile deviation will tell us the average difference between medians of these two groups
belonging to rich and poor, from the median of the entire group.

209
For Quartile Deviation, the relative measure of dispersion is the Coefficient of Quartile Deviation which
can be calculated as follows:
Q3 Q1
Coefficient of Quartile Deviation =
Q3 Q1

Example 5

Calculate lower and upper quartiles, inter-quartile range, quartile deviation and coefficient of quartile deviation
from the data of the marks obtained by ten students in an examination. Also interpret the result. (4 marks)
35, 39, 41, 30, 29, 25, 48, 51, 60, 20, 70
Solution: Arranging the data in an ascending order: 20, 25, 29, 30, 35, 39, 41, 48, 51, 60, 70

( ) ( )
th th
N +1 11 + 1
Lower Quartile: Q1 = size of item = size of item = size of 3rd item = 29 marks
4 4
th
3(N + 1) 
th
 3 (11 + 1) 
Upper Quartile: Q3 = size of   items = size of   items  = size of 9th item = 51 marks
 4   4 
Inter-Quartile Range = Q3 – Q1 = 51 – 29 = 22

Q 3 − Q 1 51 − 29
Quartile Deviation: Q.D. = = = 11
2 2

Interpretation: If all the students are divided into two equal halves and the median calculated for each half, we will
have the median of better students and the median of weak students. These medians differ from the median of the
entire group by 11 marks on an average.
Q 3 − Q1 51 − 29 22
Coefficient of Quartile Deviation = = = = 0.275
Q 3 + Q1 51 + 29 80
Chapter 6 – Measures of Dispersion

Do it yourself 5

The following table shows monthly wages of 10 workers, calculate lower and upper quartiles monthly wages,
quartile deviation and coefficient of quartile deviation: (3 marks)
120, 150, 170, 180, 181, 187, 190, 192, 200, 210
[Ans. Q1 = 165, Q3 = 194, Q.D. = 14.5 and Coefficient of quartile deviation = 0.081]

Example 6

Calculate lower and upper quartiles, quartile deviation and coefficient of quartile deviation from the data of the
marks obtained by ten students in an examination. Also interpret the result. (4 marks)
22, 26, 14, 30, 18, 11, 35, 41, 12, 32
Solution: Arranging the data in an ascending order: 11, 12, 14, 18, 22, 26, 30, 32, 35, 41

( N4+ 1) (104+ 1)
th th
Lower Quartile: Q1 = size of item = size of item = size of 2.75th item

= 2nd item + 0.75 (3rd item – 2nd item) = 12 + 0.75 (14 –12) = 12 + 1.5 = 13.5 marks

210
th
th
 3 (10 + 1) 
Upper Quartile: Q3 = size of  3(N + 1)  item = size of   item = size of 8.25th item
 4   4 
= 8th item + 0.25 (9th item – 8th item) = 32 + 0.25 (35 –32) = 32 + 0.75 = 32.75 marks
Q 3 − Q 1 32.75 − 13.5
Quartile Deviation: Q.D. == = 9.625
2 2
Interpretation: If all the students are divided into two equal halves and the median calculated for each
half, we will have the median of better students and the median of weak students. These medians differ
from the median of the entire group by 11 marks on an average.
Q 3 − Q1
Coefficient of Quartile Deviation = = 32.75 −=13.5 19.25
= 0.416
Q 3 + Q1 32.75 + 13.5 46.25

Do it yourself 6

The following table shows monthly wages of 10 workers, calculate lower and upper quartiles monthly wages, quartile
deviation and coefficient of quartile deviation: (3 marks)
320, 400, 450, 530, 550, 580, 600, 610, 700, 780, 800
[Ans. Q1 = 450, Q3 = 700, Q.D. = 125 and Coefficient of quartile deviation = 0.217]

Discrete Series (Grouped Data)

( )
th
th  3 ( N + 1) 
In case of discrete series the positions of Q1 and Q3, i.e. N + 1

Statistics for Economics XI – by Subhash Dey


item and 
4  item respectively, can be
4  
located through cumulative frequency. The corresponding values at these positions are the values of Q1 and Q3.

Example 7

The frequency distribution of the number of persons and their respective incomes (in `) are given below.
(a)   Calculate the lower and upper quartile values. Also, interpret the result.
(b) Calculate quartile deviation and coefficient of quartile deviation. (4 marks)
Income (in `) 100 200 300 400
Number of persons 2 4 10 4

Solution: Computation of Q1 and Q3 for Discrete Series


Income (in `) No. of persons (f ) Cumulative frequency (c.f.)
100 2 2
200 4 6
300 10 16
400 4 20
N = Sf = 20

211
N + 1 20 + 1
Calculation of lower quartile (Q1): Q1 is located in the = = 5.25th observation.
4 4
This can be easily located through cumulative frequency. The 5.25th observation lies in the c.f. of 6.
The income corresponding to this is `200, so the value of Q1 is `200.
Interpretation: 25% of the total number of persons (i.e., 5 persons) have incomes less than `200 and the remaining
75% persons have incomes more than `200.
3 ( N + 1) 3 ( 20 + 1)
Calculation of upper quartile (Q3): Q3 is located in the = = 15.75th observation.
4 4
This can be easily located through cumulative frequency. The 15.75th observation lies in the c.f. of 16.
The income corresponding to this is `300, so the value of Q3 is `300.
Interpretation: 75% of the total number of persons (i.e., 15 persons) have incomes less than `300 and the remaining
25% persons have incomes more than `300.
Q 3 Q 1 300 200
Quartile Deviation (Q.D.) = = = 50
2 2
Q 3 − Q1 300 − 200 100
Coefficient of Quartile Deviation = = = = 0.2
Q 3 + Q1 300 + 200 500

Do it yourself 7

Calculate Q1, Q3, Quartile Deviation and Coefficient of Quartile Deviation from the following data. (3 marks)

Marks 10 20 30 40 50 60
No. of students 4 10 20 8 6 3

[Ans. Q1 = 20, Q3 = 40, Q.D. = 10 and Coefficient of Quartile Deviation = 0.33]

Continuous Series (Grouped Data)


Chapter 6 – Measures of Dispersion

( )
th
N
In case of continuous series, we have to locate the Q1 class where item lies. Similarly, locate the Q3
4
( 3N4 )
th
class where item lies.

Q1 can be obtained by using the following formula: Q1


(
= L+ 4
N
− c.f .)
×h
f

L = lower limit of the Q1 class c.f. = cumulative frequency of the class preceding the Q1 class
f = frequency of the Q1 class h = magnitude of the Q1 class interval

Q3 can be obtained by using the following formula:


Q3
(
= L+ 4
3N
− c.f .)
×h
f

L = lower limit of the Q3 class c.f. = cumulative frequency of the class preceding the Q3 class
f = frequency of the Q3 class h = magnitude of the Q3 class interval

212
Example 8

Following data relates to daily wages (in `) of persons working in a factory. Compute the lower and upper
quartiles. Also interpret the results. (6 marks)
Daily wages 550–600 500–550 450–500 400–450 350–400 300–350 250–300 200–250
No. of workers 7 13 15 20 30 33 28 14
Solution: Computation of Q1 an Q3 for Continuous Series
Daily wages (in `) No. of Workers (f ) Cumulative Frequency
200–250 14 14
250–300 28 42
300–350 33 75
350–400 30 105
400–450 20 125
450–500 15 140
500–550 13 153
550–600 7 160

( ) ( )
th th
N 160
Calculation of lower quartile (Q1): Q1 class is the value of = item = item 40th item of the series,
4 4
which lies in 250–300 class interval.

Q1 = L +
( N
4 )
− c.f .
× h   = 250 +
( 40 − 14 ) 26
× ( 300 − 250 ) = 250 + × 50 = 250 + 46.43 = 296.43
f 28 28

( ) (= 4 )
th th
3N 3 × 160

Statistics for Economics XI – by Subhash Dey


th
=
Calculation of upper quartile (Q3): Q3 class is the value of item item 120 item of the
4
series, which lies in 400–450 class interval.

Q = L+
3
( 3N
4
− c.f .)
×h = 400 +
(120 − 105)
× ( 450 − 400 ) = 400 +
15
× 50 = 400 + 37.50 = 437.50
f 20 20
Interpretation: 75% of the total number of workers (i.e., 120 workers) have incomes less than `437.50 and the
remaining 25% persons have incomes more than `437.50.
Q 3 − Q 1 437.50 − 296.43
Calculation of Quartile Deviation: Q.D. = = = 70.54
2 2
Interpretation: If the entire group of workers is divided into two equal halves and the median wage is calculated for
each half, these medians differ from the median wages of the entire group by `70.54 on an average.
Q 3 − Q1 437.50 − 296.43 141.07
Coefficient of Quartile Deviation = = = = 0.192
Q 3 + Q1 437.50 + 296.43 733.93

Do it yourself 8

Find out quartile deviation and coefficient of quartile deviation of the following data: (4 marks)

Age (years) 0-20 20-40 40-60 60-80 80-100


No. of people 4 10 15 20 11

[Ans. Q.D. = 17.35 and Coefficient of quartile deviation = 0.29]

213
Comments: Quartile
Comments:
Comments: Range Deviation
Range

1. Quartile deviation can also be calculated for open-ended distributions.


2. It is not unduly affected by extreme values as it is based upon middle 50% of the values in a
distribution.
3. However, it is more difficult to interpret.

Percentiles: Percentiles divide the distribution into hundred equal parts, so you can get 99 dividing positions
(i.e. 99 percentiles) denoted by P1, P2, P3, ..., P99. If you have secured 82 percentile in a management entrance
examination, it means that your position is below 18 per cent of total candidates appeared in the examination.
P50 is the median value.
Deciles: Deciles divide the distribution into ten equal parts, so you can get 9 dividing positions (i.e. 9 deciles)denoted
by D1, D2, D3, ..., D9. D5 is the median value.

6.3 Mean Deviation and Coefficient of Mean Deviation


Mean deviation is the arithmetic mean of the differences of the values from their average.

Note
The average used is either the arithmetic mean or median. Since the mode is not a stable average, it is not used to
calculate mean deviation.
Chapter 6 – Measures of Dispersion

Ungrouped Data/Individual Series


Mean Deviation from Mean, M.D.( X )
Step 1: The A.M. of the values is calculated.
Step 2: Calculate the absolute deviations from mean. In other words, difference between each value and the
A.M. is calculated. All differences bare considered positive. These are denoted as |d|.
Σd
Step 3: The A.M. of these deviations is the Mean Deviation. M.D.( X ) =
n

Mean Deviation from Median, M.D.(Median)


Step 1: Calculate the Median.
Step 2: Calculate the absolute deviations from median. These are denoted as |d|.
Σd
Step 3: Find the average of these absolute deviations. It is the Mean Deviation. M.D.(Median) =
n

214
Coefficient of Mean Deviation
For Mean Deviation, the relative measure of dispersion is Coefficient of Mean Deviation.
M.D.( X ) M.D.(Median)
Coefficient of Mean Deviation = or
X Median

Thus, if Mean Deviation is calculated on the basis of the Mean, it is divided by the Mean. If Median is used
to calculate Mean Deviation, it is divided by the Median.

Example 9

Calculate the mean deviation from mean and median of the following values. Also calculate the coefficient of
mean deviation. (4 marks)
2, 4, 7, 8 and 9
SX 30
Solution: Mean deviation from mean: The A.M. ( X ) = = =6
n 5

X d = X-X
2 4
4 2
7 1
8 2
9 3
Total 12

Statistics for Economics XI – by Subhash Dey


S d 12
M.D.( X=
) = = 2.4
n 5
M.D.( X ) 2.4
Coefficient of Mean Deviation = = = 0.4
X 6

( )
th
Mean deviation from median: Since the data is arranged in ascending order, Median = n + 1 value = 3rd value = 7
2

X d = X - Median
2 5
4 3
7 0
8 1
9 2
Total 11

S d 11
=
M.D.(Median) = = 2.2
n 5
M.D.(Median) 2.2
Coefficient of Mean Deviation = = = 0.31
Median 7

215
Do it yourself 9
Find out mean deviation from median and mean. Hence, find the coefficient of mean deviation. (4 marks)
S.No. 1 2 3 4 5 6 7 8 9
Wages (in `) 40 42 45 47 50 51 54 55 57

[Ans. Mean deviation from median = 4.78 and its coefficient = 0.096
Mean deviation from mean = 4.89 and its coefficient = 0.1]

Discrete Series (Grouped Data)

Σf d
Mean Deviation from Mean, M.D.( X ) = , where d= X − X
Σf

Example 10

Plots in a housing colony come in only three sizes: 100 sq. metre, 200 sq. meters and 300 sq. metre and the number
of plots are respectively 200, 50 and 10. Calculate mean deviation from mean and its coefficient. (4 marks)

Solution: Computation of Mean and Mean Deviation


Plot Size in sq. metre (X) No. of Plots (f ) fX d = X - 126.92 f d
100 200 20,000 26.92 5,384
200 50 10,000 73.08 3,654
300 10 3,000 173.08 1,730.8
260 33,000 273.08 10,768.8
SfX 33000
Chapter 6 – Measures of Dispersion

=
X = =126.92
Sf 260
Sf d 10,768.8
=
M.D.(X) = = 41.42
Sf 260
M.D.( X ) 41.42
Coefficient of Mean Deviation = = = 0.326
X 126.92

Do it yourself 10
Find out mean deviation from mean. Hence, find the coefficient of mean deviation. (4 marks)
Size of Items 5 6 7 8 9 10 11 12 13
Frequency 4 5 6 7 8 9 10 11 12

[Ans. Mean = 9.83, Mean deviation from mean = 2.08 and its coefficient = 0.21]

216
Σf d
Mean Deviation from Median, M.D.( Median) = , where d= X − Median
Σf

Example 11

The frequency distribution of the number of persons and their respective incomes (in `) are given below. Calculate
the Mean Deviation from Median and its coefficient. (4 marks)
Income (in `) 100 200 300 400
Number of persons 2 4 10 4
Solution:
Income (X) (in `) No. of persons (f ) Cumulative frequency (cf ) d = X - 300 f d
100 2 2 200 400
200 4 6 100 400
300 10 16 0 0
400 4 20 100 400
N = Sf = 20 1,200

N + 1 20 + 1
The median is located in the = = 10.5th observation
2 2
Median income is `300.
Sf d 1,200
=
M.D.(Median) = = 60
Sf 20

Statistics for Economics XI – by Subhash Dey


M.D.(Median) 60
Coefficient of Mean Deviation = = = 0.2
Median 300

Do it yourself 11
Find out mean deviation from median. Hence, find the coefficient of mean deviation. (4 marks)
Size of Items 5 6 7 8 9 10 11 12 13
Frequency 4 5 6 7 8 9 10 11 12

[Ans. Median = 10, Mean deviation from median = 2.05 and its coefficient = 0.205]

Continuous Series (Grouped Data)

Mean Deviation from Mean, M.D.( X )


Step 1: Calculate the mean of the distribution.
Step 2: Calculate the absolute deviations |d| of the class midpoints from mean.
Step 3: Multiply each |d| value with its corresponding frequency to get f|d| values. Sum them up to get S f|d|.

217
Step 4: Apply the following formula:
Σf d
M.D.( X=
) , where d= m − X
Σf

Example 12

Calculate the mean deviation about mean and the coefficient of mean deviation. (4 marks)
Marks 0–10 10–20 20–30 30–40 40–50 50–60 60–70
No. of Students 5 12 15 25 8 3 2
Solution:

Mark (X) No. of students (f ) Mid value (m) fm d = m - 30.14 f d


0–10 5 5 25 25.14 125.7
10–20 12 15 180 15.14 181.68
20–30 15 25 375 5.14 77.1
30–40 25 35 875 4.86 121.5
40–50 8 45 360 14.86 118.88
50–60 3 55 165 24.86 74.58
60–70 2 65 130 34.86 69.72
70 2110 769.16
Sfm 2,110
=
X = = 30.14
Sf 70

Sf d 769.16
=
M.D.(X) = = 10.99
Sf 70
M.D.( X ) 10.99
Chapter 6 – Measures of Dispersion

Coefficient of Mean Deviation = = = 0.365


X 30.14

Do it yourself 12

Find out mean deviation and coefficient of mean deviation, using arithmetic from the following data: (4 marks)

Profit (`) 0-10 10-20 20-30 30-40 40-50


No. of Shops 5 10 15 20 25

[Ans. Mean Deviation from Mean = 10.67 and its coefficient = 0.34]

Mean Deviation from Median, M.D.(Median)


Step 1: Calculate the median of the distribution.
Step 2: Calculate the absolute deviations |d| of the class midpoints from median.
Step 3: Multiply each |d| value with its corresponding frequency to get f|d| values. Sum them up to get Sf|d|.

218
Step 4: Apply the following formula:

Σf d
=
M.D.(Median) , where d= m − Median
Σf

Example 13

Calculate Mean Deviation from Median and its coefficient: (4 marks)


Class Intervals 20–30 30–40 40–60 60–80 80–90
Frequencies 5 10 20 9 6
Solution: Calculation of mean deviation from median
C.I. Frequency Cumulative frequency Mid value (m) |d| = |m – 50| f|d|
20–30 5 5 25 25 125
30–40 10 15 35 15 150
40–60 20 25 50 0 0
60–80 9 44 70 20 180
80–90 6 50 85 35 210
50 665

( ) ( )
th th
N 50
Median class is the value of = item = item 25th item of the series, which lies in 40-60 class interval.
2 2

Median = L +
N
2(− c.f . )
× h = 40 +
( 25 − 15)
× 20 = 40 + 10 = 50
f 20

Statistics for Economics XI – by Subhash Dey


Sf d 665
M.D. (Median) = = = 13.3
Sf 50
M.D.(Median) 13.3
Coefficient of Mean Deviation = = = 0.266
Median 50

Do it yourself 13

Calculate mean deviation and its coefficient from the median of the following data: (4 marks)

Size 100-120 120-140 140-160 160-180 180-200


Frequency 4 6 10 8 5

[Ans. Mean Deviation from Median = 20.03 and its coefficient = 0.1309]

Comments: Mean
Range Deviation
Comments:Range
Comments:

1. Mean deviation is based on all values. A change in even one value will affect it.
2. Mean deviation is the least when calculated from median i.e., it will be higher if calculated from mean.
3. However, mean deviation cannot be calculated for open-ended distributions.
4. Mean deviation ignores signs of deviations and, therefore, appears to be unmathematical.

219
Recall that dispersion was defined as the extent to which values differ from their average. Range and quartile
deviation are not useful in measuring, how far the values are, from their average. Yet, by calculating the spread
of values, they do give a good idea about the dispersion.
Two measures which are based upon deviation of the values from their average are Mean Deviation and
Standard Deviation. Since the average is a central value, some deviations are positive and some are negative.
If these are added as they are, the sum will not reveal anything. In fact, the sum of deviations from Arithmetic
Mean is always zero, i.e. S(X - X) = 0
Look at the following two sets of values.
X : 5, 9, 16
Y : 1, 9, 20
X = 10, Y = 10
You can see that values of Y are farther from the average and hence more dispersed than values of X.
Mean Deviation tries to overcome this problem by ignoring the signs of deviations, i.e., it considers all
deviations positive. For standard deviation, the deviations are first squared and averaged and then square root
of the average is found.

Extra Shots
Suppose a college is proposed for students of five towns A, B, C, D and E which lie in that order along a road. Distances
of towns in kilometres from town A and number of students in these towns are given below:
Town Distance from town A No. of Students
A 0 90
B 2 150
C 6 100
D 14 200
Chapter 6 – Measures of Dispersion

E 18 80
620

Now, if the college is situated in town A, 150 students from town B will have to travel 2 kilometers each (a total of 300
kilometres) to reach the college. The objective is to find a location so that the average distance travelled by students
is minimum.
You may observe that the students will have to estimate the average distance travelled by students.

6.4 Standard Deviation and Coefficient of Variation


Standard Deviation
Standard Deviation is the positive square root of the mean of squared deviations from mean.

Note
Standard deviation is calculated on the basis of the mean only.

220
Suppose there are five values x1, x2, x3, x4 and x5.
Step 1: Their mean is calculated.
Step 2: Then deviations of the values from mean are calculated.
Step 3: These deviations are then squared.
Step 4: The mean of these squared deviations is the variance.
Step 5: Positive square root of the variance is the standard deviation, i.e. s = variance

Coefficient of Variation
For Standard Deviation, the relative measure of dispersion is called Coefficient of Variation, calculated as below:

Standard Deviation σ
Coefficient of Variation = × 100 i.e. × 100
Arithmetic Mean X

Top Tips
1. Coefficient of Variation is usually expressed in percentage terms and is the most commonly used relative measure of
dispersion.
2. Coefficient of Standard Deviation = Standard Deviation/Mean (It is not expressed in percentage terms.)

Ungrouped Data/Individual Series


Four alternative methods are available for the calculation of standard deviation of individual values. All these
methods result in the same value of standard deviation. These are:
1. Actual Mean Method 2. Assumed Mean Method
3. Direct Method 4. Step-Deviation Method

Statistics for Economics XI – by Subhash Dey


Example 14

Calculate the standard deviation and coefficient of variation: 5, 10, 25, 30, 50 (3 marks)
5 + 10 + 25 + 30 + 50 120
Solution: Actual=
Mean Method: X = = 24
5 5

X d (X – X) d2
5 –19 361
10 –14 196
25 +1 1
30 +6 36
50 +26 676
0 1270

Sd 2 S(X − X)2 1270


Standard Deviation, s = = = = 254 = 15.937
n n 5
s 15.937
Coefficient of Variation (C.V.) = × 100
= × 100
= 66.4%
X 24

221
Assumed Mean Method:
For the same values, deviations may be calculated from any arbitrary value A such that d = X – A. Take A = 25.
X d (X – 25) d2
5 –20 400
10 –15 225
25 0 0
30 +5 25
50 +25 625
–5 1275
Note that the sum of deviations from a value other than actual mean will not be equal to zero.

( ) ( )
2 2
Sd 2 Sd 1275 −5
=s − = − = 254 = 15.937
n n 5 5

Top Tip
Standard deviation is Independent of Origin.
Standard deviation is not affected by the value of the constant from which deviations are calculated. The value of the
constant does not figure in the standard deviation formula. Thus, Standard deviation is Independent of Origin.

s 15.937
Coefficient of Variation (C.V.) = × 100
= × 100
= 66.4%
X 24

Direct Method:
Standard Deviation can also be calculated from the values directly, i.e., without taking deviations.
X X2
5 25
Chapter 6 – Measures of Dispersion

10 100
25 625
30 900
50 2500
120 4150

( ) ( )
2 2
SX 2 SX 4,150 120
=s − = − = =
254 15.937
n n 5 5
s 15.937
Coefficient of Variation (C.V.) = × 100
= × 100
= 66.4%
X 24

Note

( )
2
SX 2 SX SX 2
( )
2
=s − =
⇒s − X
n n n

222
Step-deviation Method:
Deviations can be calculated from an arbitrary value and then divided by a common factor (c).
X d = (X – 25) d′ = (d/5) d′2
5 –20 –4 16
10 –15 –3 9
25 0 0 0
30 +5 +1 1
50 +25 +5 25
–1 51

( ) ( ) ×5 =
2 2
Sd'2 Sd' 51 −1
=s − ×c = − 10.16 × 5 = 15.937
n n 5 2

s 15.937
Coefficient of Variation (C.V.) = × 100
= × 100
= 66.4%
X 24

Top Tip
Standard deviation is not independent of scale.
Standard deviation is not independent of scale. Thus, if the values or deviations are divided by a common factor, the
value of the common factor is used in the formula to get the value of standard deviation.

Statistics for Economics XI – by Subhash Dey


Do it yourself 14

Following are the marks obtained by 10 students of a class. Calculate standard deviation and coefficient of
standard deviation: (3 marks)
Marks 12 8 17 13 15 9 18 11 6 1

[Ans. Standard Deviation = 4.94 and its coefficient = 0.45]

Discrete Series (Grouped Data)

Actual mean method: s= Sfd 2


Sf (
, where d= X − X we know that X=
SfX
Sf )
( ) , where d=
2
Sfd 2 Sfd
Assumed mean method: s= − X−A
Sf Sf

( )
2
SfX 2 SfX
=
Direct method: s −
Sf Sf

( ) × c, where
2
Sfd'2 Sfd' X−A
=
Step deviation method: s − = d'
Sf Sf c

223
Example 15

Calculate standard deviation and coefficient of variation: (4 marks)


Marks 5 10 15 20
No. of students 2 1 4 3
Solution: Actual Mean Method:
Marks (X) No. of students (f ) fX d = (X – 14) d2 fd2
5 2 10 –9 81 162
10 1 10 –4 16 16
15 4 60 +1 1 4
20 3 60 +6 36 108
10 140 290

SfX 140 Sfd 2 290


Mean, =
X = = 14 =
Standard deviation, s = = 5.38
Sf 10 Sf 10
s 5.38
Coefficient of Variation (C.V.) = × 100 = × 100 = 38.43%
X 14
Assumed mean method:
Marks (X) No. of students (f ) d = (X – 10) d2 fd fd2
5 2 –5 25 –10 50
10 1 0 0 0 0
15 4 +5 25 20 100
20 3 +10 100 30 300
10 40 450

( ) ( )
2 2
Sfd 40 Sfd 2 Sfd 450 40
X =A + =10 + =14 =
s − = − = 45 − 16
= =
29 5.38
Chapter 6 – Measures of Dispersion

Sf 10 Sf Sf 10 10

s 5.38
Coefficient of Variation (C.V.) = × 100 = × 100 = 38.43%
X 14
Direct method:
Marks (X) No. of students (f ) fX X2 fX2
5 2 10 25 50
10 1 10 100 100
15 4 60 225 900
20 3 60 400 1,200
10 140 2,250

( ) ( )
2 2
SfX 140 SfX 2 SfX 2,250 140
=
X = = 14 =
s − = − = 225 − 196
= =
29 5.38
Sf 10 Sf Sf 10 10

s 5.38
Coefficient of Variation (C.V.) = × 100 = × 100 = 38.43%
X 14

224
Step-deviation Method:
Marks X No. of students (f ) d = X – 10 d′ = d/5 d′2 fd′ fd′2
5 2 –5 –1 1 –2 2
10 1 0 0 0 0 0
15 4 +5 +1 1 +4 4
20 3 +10 +2 4 +6 12
10 +8 18

Mean, X = A + Sfd' × c = 10 + 8 × 5 = 10 + 4 = 14
Sf 10

( ) ( ) ×=5
2 2
Sfd ′2 Sfd ′ 18 8
Standard deviation, s
= − ×=
c − 1.8 − 0.64 × =
5 1.16 × =
5 1.077 × =
5 5.38
Sf Sf 10 10

s 5.38
Coefficient of Variation (C.V.) = × 100 = × 100 = 38.43%
X 14

Do it yourself 15

Find out standard deviation of the following data: (3 marks)

Size 1 2 3 4 5 6 7 8
Frequency 5 10 15 20 25 30 35 40

[Ans. 2.07]

Statistics for Economics XI – by Subhash Dey


Continuous Series (Grouped Data)

Actual Mean Method


Step 1: Calculate the mean of the distribution i.e., X =
Sfm
(
, where 'm' denotes mid values
Sf )
Step 2: Calculate deviations of mid values from the mean (i.e., d= m − X )
Step 3: Multiply the deviations with their corresponding frequencies to get fd values.
Step 4: Calculate fd2 values by multiplying fd values with d values. Sum up these to get Sfd2.
Step 5: Calculate standard deviation using the following formula:

Σfd 2
σ=
Σf

Assumed Mean Method


Step 1: Calculate mid-points of classes.
Step 2: Calculate deviations of mid-points from an assumed mean such that d = m – A.
Step 3: Multiply values of ‘d’ with corresponding frequencies to get ‘fd’ values. (Note that the total of this
column is not zero since deviations have been taken from assumed mean).
225
Step 4: Multiply ‘fd’ values with ‘d’ values to get fd2 values. Find Sfd2.
Step 5: Standard Deviation can be calculated by the following formula:

( )
2
Σfd 2 Σfd
s= −
Σf Σf

Step-deviation Method
In case the values of deviations are divisible by a common factor, the calculations can be simplified by the
step-deviation method.
Step 1: Calculate class mid-points and deviations from an arbitrarily chosen value, just like in the assumed
mean method (i.e., d = m –A).
(
Step 2: Divide the deviations by a common factor denoted as ‘c’ i.e., d′ = d .
c )
Step 3: Multiply d′ values with corresponding f values to obtain fd′ values.
Step 4: Multiply fd′ values with d′ values to get fd′2 values.
Step 5: Calculate Sfd′ and Sfd′2 values.
Step 6: Apply the following formula to calculate standard deviation:

( ) ×c
2
Σfd ′2 Σfd ′
s= −
Σf Σf

Example 16

Calculate the mean, standard deviation and coefficient of variation from the following data: (6 marks)
Profits of companies (` in lakh) Number of companies
10–20 5
20–30 8
30–50 16
Chapter 6 – Measures of Dispersion

50–70 8
70–80 3

Solution: Actual Mean Method:


CI f m fm d = m – 40.5 fd fd2
10–20 5 15 75 –25.5 –127.5 3,251.25
20–30 8 25 200 –15.5 –124.0 1,922
30–50 16 40 640 –0.5 –8.0 4.00
50–70 8 60 480 +19.5 +156.0 3,042
70–80 3 75 225 +34.5 +103.5 3,570.75
40 1,620 0 11,790

Sfm 1,620 Sfd 2 11,790


Mean,=
X = = 40.5 =
Standard Deviation, s = =17.168
Sf 40 Sf 40

s 17.168
Coefficient of Variation (C.V.) = × 100
= × 100
= 42.34%
X 40.5

226
Assumed Mean Method:
CI f m d = m – 40 fd fd2
10–20 5 15 –25 –125 3,125
20–30 8 25 –15 –120 1,800
30–50 16 40 0 0 0
50–70 8 60 +20 160 3,200
70–80 3 75 +35 105 3,675
40 +20 11,800

Mean, X =A + Sfd =40 + 20 =40.5


Sf 40

( )= ( )=
2 2
Sfd 2 Sfd 11800 20
Standard deviation, s = − − 294.75 = 17.168
Sf Sf 40 40

s 17.168
Coefficient of Variation (C.V.) = × 100
= × 100
= 42.34%
X 40.5

Step-deviation Method:
CI f m d = m – 40 d′ = d/5 fd′ fd′2
10–20 5 15 –25 –5 –25 125
20–30 8 25 –15 –3 –24 72
30–50 16 40 0 0 0 0

Statistics for Economics XI – by Subhash Dey


50–70 8 60 +20 +4 +32 128
70–80 3 75 +35 +7 +21 147
40 +4 472

Mean, X = A + Sfd' × c = 40 + 4 × 5 = 40 + 0.5 = 40.5


Sf 40

( ) ( ) ×=5
2 2
Sfd ′2 Sfd ′ 472 4
Standard deviation,=
s − =
×c − 11.8 − 0.01 ×
= 5 11.79 ×
= 5 17.168
Sf Sf 40 40

s 17.168
Coefficient of Variation (C.V.) = × 100
= × 100
= 42.34%
X 40.5

Do it yourself 16

Find out standard deviation of the following data using step deviation method: (4 marks)

Size 0-2 2-4 4-6 6-8 8-10 10-12


Frequency 2 4 6 4 2 6

[Ans. 3.28]

227
Comments: Standard
Comments:
Comments: Range Deviation
Range

1. Standard Deviation is based on all values. Therefore, a change in even one value affects the value of
standard deviation.
2. It is independent of origin but not of scale.
• Standard deviation is not affected by the value of the constant from which deviations are calculated.
The value of the constant does not figure in the standard deviation formula. Thus, Standard
deviation is independent of origin.
• Standard deviation is not independent of scale. Thus, if the values or deviations are divided by
a common factor, the value of the common factor is used in the formula to get the value of
standard deviation.
3. Standard Deviation is the most widely used measure of dispersion. It is also useful in more advanced
statistical problems.

Coefficient of Variation (C.V.) can be used to compare different variables. For example, if there are two firms A
and B to determine the firm in which there is greater variability in individual wages, we compare the coefficient of
variation. The firm with higher coefficient of variation will have greater variation in the distribution of wages. Similarly,
to determine whether wages have become more or less uniform/consistent, we calculate the coefficient of variation. If
the coefficient of variation decreases, it means the wages have become more uniform/consistent.

Example 17

An analysis of the monthly wages paid to workers in two firms A and B, belonging to the same industry gives
the following result: (6 marks)
Chapter 6 – Measures of Dispersion

Firm A Firm B
Number of wage earners 550 650
Average monthly wages `1,450 `1,400
Standard deviation of the distribution of wages `100 `140
(a) Which firm, A or B, pays out larger amount as weekly wages?
(b) In which firm, A or B, is there greater variability in individual wages?
SX
Solution: (a) Since X = , therefore, SX = N × X
N
Firm A: Total wage bill = 550 × 1,450 = `7,97,500 Firm B: Total wage bill = 650 × 1,400 = `9,10,000
Thus, firm B pays larger amount as weekly wages.
σ
(b) Coefficient of variation, C.V . = × 100
X
100 140
Firm A: C.V . = × 100 = 6.9 % Firm B: C.V . = × 100 = 10 %
1, 450 1, 400
Since coefficient of variation is higher in case of firm B, hence there is greater variation in the distribution of wages in firm B.

228
Do it yourself 17

Given the following data, compare the variability in income of teachers in two schools. (3 marks)

School Mean income (`) Standard Deviation (`) So


A 800 120
B 900 135

[Ans. C.V.A = 15% and C.V.B = 15%. Thus, there is uniformity in the income of teachers in two schools.]

Example 18

A batsman is to be selected for a cricket team. The choice is between X and Y on the basis of their scores in five
previous tests which are: (NCERT) (6 marks)
X 25 85 40 80 120
Y 50 70 65 45 80
Which batsman should be selected if we want:
(i) a higher run getter, or
(ii) a more reliable batsman in the team?
Solution: In order to select the batsman with a higher run getter, we have to compare their arithmetic mean scores.
Also, to judge which batsman is a more reliable batsman in the team, we have to compare their coefficient of variations.

X dx = X – 70 dx2 Y dy = Y – 62 dy2
25 –45 2,025 50 –12 144

Statistics for Economics XI – by Subhash Dey


85 +15 225 70 +8 64
40 –30 900 65 3 9
80 10 100 45 –17 289
120 +50 2,500 80 +18 324
SX = 350 Sdx2 = 5,750 SY = 310 Sdy2 = 830

SX 350 Sdx 2 5,750


X= = = 70, s x= = = 33.91
n 5 n 5

SY 310 Sdy 2 830


Y= = = 62, s y= = = 12.88
n 5 n 5
σx 33.91
Coefficient of Variation X: C.V . x = × 100 = × 100 = 48.44%
X 70
σy 12.88
Coefficient of Variation Y:  C.V .y = × 100 = × 100 = 20.77%
Y 62
(i) Batsman X should be selected, if we want a higher run getter since the batsman a has an average score of 70
runs, which is greater than the average score of batsman Y (62 runs)
(ii) Batsman Y should be selected if we want a more reliable or consistent batsman in the team since the coefficient
of variation of score of batsman Y (20.77%) is much less than that of batsman X (48.44%).

229
Do it yourself 18

The scores of two batsman A and B in five innings during a certain match are as follows: (4 marks)

A 32 28 47 63 7
B 19 31 48 53 67

Find out who is a better scorer and who is more consistent batsman?
[Ans. Batsman A is a better scorer since his average score is 48.2, which is greater than the average score of the
Batsman B, i.e. 43.6. Batsman A is more consistent than Batsman B since C.V.A = 34.83% which is less than
C.V.B = 38.62%

Case-based Integrated Question As per CBSE New Question Paper Design 2020-21

Question:

To check the quality of two brands of lightbulbs, their life in burning hours was estimated as under for 100
bulbs of each brand.
No. of bulbs
Life (in hrs)
Brand A Brand B
0–50 15 2
50–100 20 8
100–150 18 60
150–200 25 25
200–250 22 5
100 100
(i) Which brand gives higher life? (ii) Which brand is more dependable? (8 marks)
Answer: To judge the higher life of the bulb, we have to compare the arithmetic mean and to determine which brand is
more dependable, we have to compare their coefficient of variation.
Brand A
Chapter 6 – Measures of Dispersion

(m − 125)
Life (in hrs) Mid values (m) No. of bulbs (f ) d' = fd′ fd′2
50
0–50 25 15 –2 –30 60
50–100 75 20 –1 –20 20
100–150 125 18 0 0 0
150–200 175 25 +1 +25 25
200–250 225 22 +2 +44 88
100 19 193

Σfd′  19 
Arithmetic mean, X = A + × c = 125 +   × 50 = 125 + 9.5 = 134.5
Σf  100 
2 2
Σfd ′2  Σfd ′  193  19 
Standard Deviation, σ A = −  ×c = −  × 50 = 1.93 − 0.0361 × 50 = 68.81
Σf  Σf  100  100 

σA 68.81
Coefficient of variation, C.V .A = × 100 = × 100 = 51.16%
X 134.5

230
Brand B
(m − 125)
Life (in hrs) Mid values (m) No. of bulbs (f ) d' = fd′ fd′2
50
0–50 25 2 –2 –4 8
50–100 75 8 –1 –8 8
100–150 125 60 0 0 0
150–200 175 25 +1 +25 25
200–250 225 5 +2 +10 20
100 +23 61
Σfd ′  23 
Arithmetic mean, Y = A + × c = 125 +   × 50 = 125 + 11.5 = 136.5
Σf  100 
2 2
Σfd ′2  Σfd ′  61  23 
Standard Deviation, σ B = −  ×c = −  × 50 = 0.61 − 0.0529 × 50 = 37.32
Σf  Σf  100  100 

σB 37.32
Coefficient of variation, C.V .B = × 100 = × 100 = 27.34%
Y 136.5

Conclusion:
(a) Since average life of a brand A bulb is 134.5 hours and that of a brand B bulb is 136.5 hours, therefore,
brand B gives a higher life.
(b) Since coefficient of variation for brand B of bulbs is 37.34%, which is less than the coefficient of variation
for brand A of bulbs (51.15%), therefore, brand B bulbs are more consistent and hence more dependable.

Statistics for Economics XI – by Subhash Dey


Example 19

The mean and standard deviation of a set of 100 observations were worked out as 40 and 5 respectively by a
computer which by mistake took the value 50 in place of 40 for one observation. Find the correct mean, variance
and standard deviation. (6 marks)
ΣX
Solution: Since X = , therefore, ΣX = NX . Given that N = 100 and X = 40. Therefore, SX = 100 × 40 = 4,000
N
But this is not the correct SX because one item had been taken as 50 instead of 40.
correct SX 3, 990
Correct SX = 4,000 – 50 + 40 = 3,990 and Correct Mean = = = 39.90
N 100

ΣX 2 ΣX 2 ΣX 2
− ( 40 )
2
Now, Standard Deviation = − ( X )2 ⇒ 5= − ( 40)2 ⇒ 25 =
100 100 100
2,500 = SX2 – 1,60,000 ⇒ SX2 = 1,62,500. But this is not the correct SX2.
Correct SX2 = 1,60,000 – (50)2 + (40)2 = 1,62,500 –2,500 + 1,600 = 1,61,600
Correct ΣX 2 1, 61, 600 1, 61, 600 − 1, 59, 201 2, 399
− ( Correct X ) =
2
Correct variance = − (39.9)2 = = = 23.99
N 100 100 100

Therefore, correct standard deviation = =


correct variance =
23.99 4.89
Answer: Correct mean = 39.9, Correct variance = 23.99 and Correct standard deviation = 4.89

231
hfghgfg

Illustrations

Illustration 1: In a town, 25% of the persons earned more than `45,000 whereas 75% earned more
than `18,000. Calculate the absolute and relative values of dispersion. (NCERT) (3)
Solution: 25% of the persons earned more than `45,000, i.e. value of upper quartile (Q3) = `45,000. Also,
75% earned more than `18,000, i.e. value of lower quartile (Q1) = `18,000.
Q 3 − Q 1 45, 000 − 18, 000
Absolute value of dispersion: Quartile Deviation = = = `13,500
2 2
Q 3 − Q1 45, 000 − 18, 000 27, 000
Relative values of dispersion: Coefficient of Quartile Deviation = = = = 0.429
Q 3 + Q 1 45, 000 + 18, 000 63, 000
Illustration 2: The sum of 10 values is 100 and the sum of their squares is 1,090. Find out the coefficient
of variation. (NCERT) (3)
Solution: N = 10, SX = 100, SX2 = 1,090
ΣX 100 ΣX 2 1, 090
Mean, X = = = 10 Standard deviation, σ = − ( X )2 = − (10)2 = 109 − 100 = 3
N 10 N 10
σ 3
Therefore, Coefficient of variation, C.V. = × 100 = × 100 = 30%
X 10
Illustration 3: Calculate the Range and Quartile Deviation from the data of the marks obtained by
ten students in an examination. (3)
22, 26, 14, 30, 18, 11, 35, 41, 12, 32
Solution: Arranging the data in an ascending order: 11, 12, 14, 18, 22, 26, 30, 32, 35, 41
Range = 41 – 11 = 30
Chapter 6 – Measures of Dispersion

For Q.D., we need to calculate values of Q1 and Q3.

( ) ( )
th th
N +1 10 + 1
 Q1 = size of item = size of item = size of 2.75th item
4 4

= 2nd item + 0.75 (3rd item – 2nd item) = 12 + 0.75(14 –12) = 12 + 1.5 = 13.5 marks
th
th
 3 (10 + 1) 
 Q3 = size of  3(N + 1)  item = size of   item = size of 8.25th item
 4   4 
= 8th item + 0.25 (9th item – 8th item) = 32 + 0.25(35 –32) = 32 + 0.75 = 32.75 marks
Q 3 − Q 1 32.75 − 13.5
Thus,
= Q .D. = = 9.625
2 2

Illustration 4: For the following distribution of marks scored by a class of 40 students, calculate the
Range and Q.D. Also interpret the result. (4)
Class intervals 0–10 10–20 20–40 40–60 60–90
No. of students 5 8 16 7 4

234
Practice Questions
Question 1: Five students obtained following marks in statistics. Find out range and coefficient of range: (1 mark)
20, 25, 35, 30, 15
Question 2: Find out range and coefficient of range for the following data: (3 marks)
Marks 20-29 30-39 40-49 50-59 60-69
No. of Students 8 12 20 7 3

Question 3: Calculate quartile deviation and its coefficient from the following data. (3 marks)
139, 140, 140, 141, 141, 142, 142, 143, 143, 144, 144, 145
Question 4: Find out quartile deviation of the following data. (3 marks)
Wages 50 55 58 60 70 90 95 110
No. of workers 5 7 12 10 8 6 2 9

Question 5: From the following data, calculate quartile deviation and coefficient of quartile deviation.
(4 marks)

Wages (less than) 10 20 30 40 50 60 70


No. of workers 5 8 15 20 30 33 35

Question 6: From the following data, calculate quartile deviation and coefficient of quartile deviation.
(3 marks)

Size 39 45 80 100 110 130 150 180 200


Frequency 5 7 8 9 11 20 12 4 3

Question 7: Calculate an appropriate measure of dispersion (absolute and relative) for the following data: (4 marks)
Wages in (`) Less than 35 35-37 38-40 41-43 Over 43
No. of Wage Earner 14 62 99 18 7
Chapter 6 – Measures of Dispersion

Question 8: From the following particular, calculate the range of marks obtained by middle 50% of the students. Also
calculate quartile deviation. (3 marks)
Marks 2 4 6 8 10 12
No. of students 3 5 10 12 6 4

Question 9: Calculate mean deviation from median and its coefficient for the following data: (4 marks)
Class Interval 10-19 20-29 30-39 40-49 50-59
Frequency 3 4 6 5 2

Question 10: Find out mean deviation from the mean. (3 marks)
Item 5 10 15 20 25 30 35 40
Frequency 8 16 18 22 14 9 6 7

Question 11: Calculate mean deviation using median and coefficient of mean deviation: (4 marks)

Class Interval 5-15 15-25 25-35 35-45 45-55
Frequency 5 4 5 4 2

242
Question 12: Calculate mean deviation from the mean: (3 marks)
Class Interval 10-20 20-30 30-50 50-70 70-80
Frequency 5 8 16 8 3

Question 13: Calculate median and mean deviation from median from following data: (3 marks)
Marks 0-4 4-8 8-12 12-16
No. of students 4 8 2 1

Question 14: Calculate mean deviation from median for the following data: (3 marks)
Age 0-10 10-20 20-30 30-40 40-50
No. of students 5 10 20 5 10

Question 15: Compute mean deviation from the median for the following data: (4 marks)
Class Interval 0-20 20-40 40-60 60-80 80-100 100-120
Frequency 5 50 84 32 10 6

Question 16: Calculate mean deviation from median for the following data: (3 marks)
Age (in years) 20-30 30-40 40-50 50-60 60-70
No. of workers 8 12 20 16 4

Question 17: Calculate mean deviation from mean: (4 marks)


Class Interval 10-20 20-30 30-40 40-50 50-60 60-70 70-80 80-90
Frequency 2 6 12 18 25 20 10 7

Statistics for Economics XI – by Subhash Dey


Question 18: Calculate mean deviation from median for the following data: (3 marks)
Class Interval 10 20 30 40 50
Frequency 2 8 15 10 4
Question 19: Find out standard deviation, given the following data: (3 marks)
8, 10, 12, 14, 16, 18, 20, 22, 24, 26
Question 20: Find out standard deviation of the monthly income of 5 persons, as stated below: (3 marks)
S.No. 1 2 3 4 5
Monthly income (`) 500 700 1000 1500 1300
Question 21: Calculate standard deviation from the following data: (3 marks)
S.No. 1 2 3 4 5
Marks 10 12 13 15 20

Question 22: Find out standard of the following data, using direct method:
(3 marks)
Size 4 6 8 10 12 14 16
Frequency 1 2 3 5 3 2 1
Question 23: Find the standard deviation from the following data: (4 marks)
Marks 0-10 10-20 20-30 30-40 40-50
No. of Students 10 15 10 10 5

243
Question 24: Calculate mean and standard deviation from the following data: (4 marks)
Marks (less than) 20 40 60 80 100
No. of Students 8 20 50 70 80
Question 25: Calculate mean and standard deviation from the series: (6 marks)
Wages (more than) 0 10 20 30 40 50 60 70
No. of workers 100 90 75 50 25 15 5 0

Question 26: Calculate standard deviation by step deviation method: (4 marks)


Class Interval 0-10 10-20 20-30 30-40 40-50 50-60 60-70
Frequency 10 15 25 25 10 10 5

Question 27: Calculate standard deviation by step deviation method: (4 marks)


Class Interval 10-20 20-30 30-50 50-70 70-80
Frequency 5 8 16 8 3

Question 28: Calculate the standard deviation: (4 marks)


Age (in years) 50-55 45-50 40-45 35-40 30-35 25-30
No. of workers 22 29 31 47 51 70

Question 29: Calculate Standard Deviation for the following data: (4 marks)
Life (in hours) 0-50 50-100 100-150 150-200 200-250
No. of bulbs 2 8 60 25 5

Question 30: Calculate coefficient of variation of the following series: (3 marks)


S.No. 1 2 3 4 5 6 7 8 9 10
Marks 53 58 25 30 54 42 32 48 46 52
Chapter 6 – Measures of Dispersion

Question 31: Calculate coefficient of variation of the following data. (4 marks)


Item 10 12 14 16 18 20 22
Frequency 4 6 10 15 9 4 2

Question 32: Calculate coefficient of variation of the following data. (6 marks)


Marks 0-10 10-20 20-30 30-40 40-50 50-60 60-70
No. of Students 2 4 5 9 10 5 15

Question 33: A batsman is to be selected for a cricket team. The choice is between X and Y on the basis of the runs
scored by them in their previous matches, which are given below: (6 marks)
X 25 85 40 80 120
Y 50 70 65 45 80

Which batsman should be selected if we want:


(i) a higher runs scorer, and
(ii) a more reliable batsman in the team?

244
Question 34: Find out the coefficient of variation of marks: (3 marks)
S.No. 1 2 3 4 5 6 7 8 9 10
Marks 43 48 65 57 31 60 37 48 78 59

Question 35: Calculate the coefficient of variation for the following data: (6 marks)
Weight (in kg) 0-20 20-40 40-60 60-80 80-100
No. of persons 81 40 66 49 14
Question 36: Prices of shares of X and Y are given. State, giving reasons, which share is more stable in value. (6 marks)
X 41 44 43 48 45
Y 91 93 96 92 90

Question 37: Goals scored by two teams A and B in a football session were as follows. By calculating coefficient of
variation in each case, find which team may be considered more consistent. (6 marks)
No. of Goals Scored 0 1 2 3 45
No. of Matches by A 27 9 8 5 90
No. of Matches by B 17 9 6 5 90
Question 38: You are given the daily wage paid to workers in two factories X and Y.
(8 marks)
No. of workers
Daily Wages
Factory X Factory Y
12-13 15 25
13-14 30 40
14-15 44 60

Statistics for Economics XI – by Subhash Dey


15-16 60 35
16-17 30 12
(i) Which factory pays higher average wages?
(ii) Which factory has a more consistent wage structure?
Question 39: The yield of Wheat and rice per acre for 10 districts of a state is as under:
(8 marks)
District 1 2 3 4 5 6 7 8 9 10
Wheat 12 10 15 19 21 16 18 9 25 10
Rice 22 29 12 23 18 15 12 34 18 12
(i) Calculate for each crop the absolute and relative measures of dispersion.
(ii) Which crop has greater variation in yield? Explain giving reasons.
Question 40: The particulars regarding the income of two villages are given below:
(4 marks)
Village X Village Y
Number of people 500 600
Average income (`) 186 175
Standard deviation (`) 9 10
(i) What is the average income of the two villages X and Y taken together? Calculate.
(ii) Which village has a larger income? Give reason in support of your answer.
(iii) In which village, variation in income is greater? Give reason in support of your answer.

245
Question 41: For two firms A and B belonging to the same industry, the following data are given:
(3 marks)
Firm A Firm B
No. of wage earners 586 648
Average monthly wages (`) 52.5 47.5
Standard deviation (`) 10 11
(i) Which firm A or B pays larger amount as monthly wages? Give reason in support of your answer.
(ii) Which firm shows greater variability in the wage rate? Give reason in support of your answer.
Question 42: The following table gives the distribution of wages in two branches of a factory: (8 marks)
Monthly wages (`) 100-150 150-200 200-250 250-300 300-350 Total
No. of workers in
167 207 253 205 168 1000
Branch A
No. of workers in
63 93 157 105 82 500
Branch B
(a) Which branch pays higher average wages?
(b) Which branch has greater variability in wages in relation to the average wages?
(c) What is the average monthly wage for the factory as a whole?
(d) What is the variance of wages of all the workers in the two branches – A and B taken together?

ANSWERS
1. Range = 20, Coefficient 2. Range = 50, Coefficient 3. Q.D. = 1.75 and 4. Q.D. = 16
of Range = 0.4 of Range = 0.56 its coefficient = 0.012
5. Q.D. = 11.875 and its 6. Q.D. = 25 and its 7. Q.D. = 1.75 and its 8. Inter-quartile range = 2
coefficient = 0.345 coefficient =0.217 coefficient = 0.02 and Q.D. = 1
9. M.D.Median = 9.5 and its 10. M.D. = 7.656 11. M.D.Median = 11.3 and 12. M.D.X = 12.97 and
X
coefficient = 0.275 its coefficient = 0.4185
its coefficient = 0.32
13. M.D.Median = 2.25 14. M.D.Median = 9 15. M.D.Median = 14.245 16. M.D.Median = 8.7
18. M.D.Median = 7.692 19. s = 5.74 20. s = `368.78
Chapter 6 – Measures of Dispersion

17. M.D.X = 14.17


21. s = 3.4 22. s = 3.07 23. s = 8.94 24. Mean = 53, s = 22.605
25. Mean = 31, s = 15.93 26. s = 15.93 27. s = 12.17 28. s = 8.19
29. s = 37.319 30. C.V. = 24.54% 31. C.V. = 19.09% 32. C.V. = 40.68%

33. X  = 70, C.V.X = 48.44%, 34. C.V. = 25.2% 35. C.V. = 63.75% 36. C.V.X = 5.237%,
Y = 62, C.V.Y = 20.77%. C.V.Y = 2.228%.

37. C.V.A = 123.49%, 38. X  = 14.83, C.V.X = 7.96%, 39. 40. (i) Combined average
C.V.B = 108.9%. Measures Wheat Rice income of the two
Y = 14.32, C.V.Y = 7.69%
Range and 16 22
villages X and Y = `180
Thus, Factory X pays higher
its coefficient 0.47 0.47 (ii) Total income of village
wages. But Factory Y has a
X = `93,000 and Total
more consistent wage structure. Q.D and 4.75 6.25
its coefficient 0.32 0.34 income of village Y
= `1,05,000.Thus,
M.D.X and 4.3 6.1 Village Y has a larger
its coefficient 0.27 0.312
M.D.Median and 4.3 5.7 income.
its coefficient 0.27 0.316 (iii) C.V.X = 4.84%,
s and its 5.044 7.158 C.V.Y = 5.71%.
coefficient 0.325 0.367 Thus, Village Y has more
C.V. 32.54% 36.7% variability in income.

246
Objective Type Questions

1. Q.D. is the average difference of the Quartiles from the median. True/False? Give reason.
2. The mean and standard deviation of normal distribution are 60 and 5 respectively. What is the
value of coefficient of variation? (Choose the correct alternative)
(a) 12% (b) 8.33%
(c) 55% (d) 65%
3. Average daily wage of 50 workers of a factory was `200 with a standard deviation of `40. If each
worker is given a hike of 10% in wages, how will the mean wages be affected?
(Choose the correct alternative)
(a) The mean wage will increase by 10%. (b) The mean wage will be `220.
(c) Both (a) and (b) (d) The mean wage will remain unchanged.
4. Measures of dispersion reflect the quantum of ___________ in values. Fill in the blank.
5. Dispersion is the extent to which values in a distribution differ from the __________ of the distribution.
Fill in the blank.
6. __________ and ___________ measure the dispersion by calculating the spread within which the
values lie. (Choose the correct alternative)
(a) Range, Quartile Deviation (b) Mean deviation, Standard deviation
(c) Range, Standard deviation (d) Quartile Deviation, Mean deviation
7. __________ and ___________ calculate the extent to which the values differ from the average.
(Choose the correct alternative)
(a) Range, Quartile Deviation (b) Mean deviation, Standard deviation

Statistics for Economics XI – by Subhash Dey


(c) Range, Standard deviation (d) Quartile Deviation, Mean deviation
8. The absolute measure of dispersion, which is most useful is ___________. Fill in the blank.
9. Higher value of range implies ___________ dispersion. Fill in the blank.
10. Range is unduly affected by extreme values. True/False. Give reason.
11. As long as the ________________ and _____________ values remain unaltered, any change in other
values does not affect range. Fill up the blanks.
12. Range cannot be calculated for ________ of frequency distribution. ( Choose the correct alternative)
(a) inclusive series (b) exclusive series
(c) unequal class intervals (d) open-ended series
13. The presence of even one extremely high or low value in a distribution can reduce the utility of
___________ as a measure of dispersion. Thus, we may need a measure which is not unduly affected
by the outliers or extreme values such as ____________. Fill up the blanks.
14. Inter-quartile range is based upon ____________ of the values in a distribution and is, therefore, not
affected by extreme values. Fill in the blank.
15. Half of the ____________ is called quartile deviation (Q.D.). Fill in the blank.
16. Quartile Deviation is also called ____________. Fill in the blank.
17. Quartile Deviation is the average difference of the quartiles from the _________. Fill in the blank.
18. __________ (Mean/Median/Mode) is not used to calculate mean deviation. Fill in the blank.

247
19. __________ is the arithmetic mean of the differences of the values from their average.
(Choose the correct alternative)
(a) Range (b) Quartile Deviation
(c) Mean Deviation (d) Standard Deviation
20. Mean deviation is the least when calculated from the ________ and it will be higher if calculated
from the ________. (mean/median/mode) Fill up the blanks.
21. __________ cannot be calculated for open-ended distributions. (Choose the correct alternative)
(a) Range (b) Quartile Deviation
(c) Mean Deviation (d) Standard Deviation
22. __________ ignores the signs of deviations. (Choose the correct alternative)
(a) Range (b) Quartile Deviation
(c) Mean Deviation (d) Standard Deviation
23. __________ is calculated on the basis of the mean only. (Choose the correct alternative)
(a) Range (b) Quartile Deviation
(c) Mean Deviation (d) Standard Deviation
24. Positive square root of the _________ is the standard deviation. Fill in the blank.
25. Standard deviation is Independent of Origin. True/False? Give reason.
26. Standard Deviation can also be calculated from the values directly, i.e., without taking deviations. This
amounts to taking deviations from __________. Fill in the blank.
27. Standard deviation is independent of scale. True/False? Give reason.
28. _______ is the most widely used measure of dispersion. (Choose the correct alternative)
(a) Range (b) Quartile Deviation
(c) Mean Deviation (d) Standard Deviation
29. _______ is the most commonly used relative measure of dispersion. (Choose the correct alternative)
Chapter 6 – Measures of Dispersion

(a) Coefficient of Range (b) Coefficient of Quartile Deviation


(c) Coefficient of Mean Deviation (d) Coefficient of Variation
30. Q1 and Q3 denote the two limits within which central ________ of the data lies.
(Choose the correct alternative)
(a) 25% (b) 50%
(c) 75% (d) 100%
31. Match the columns:
(i) It has 75% of the items of the distribution below it and 25% of (A) Lower quartile
the items above it.
(ii) It has 25% of the items of the distribution below it and 75% of (B) Median
the items are greater than it.
(iii) It has 50% of items below it and 50% of the observations above it. (C) Upper Quartile
32. The second Quartile (denoted by Q2) is called ________. Fill in the blank.
33. ____________ divide the distribution into hundred equal parts, so you can get __________ dividing
positions. Fill in the blanks.

248

34. If you have secured 82 percentile in a management entrance examination, it means that your
position is below __________ of total candidates appeared in the examination.
(Choose the correct alternative)
(a) 82 per cent (b) 18 per cent
(c) 8 per cent (d) 2 per cent
35. P50 is the ________ value. Fill in the blank.
36. Which of the following statements is correct? (Choose the correct alternative)
(a) Two distributions may have identical measures of central tendency and dispersion.
(b) Two distributions may have the identical measures of central tendency but different measures of dispersion.
(c) Two distributions may have the different measures of central tendency but identical measures of dispersion.
(d) All the statements (a), (b) and (c).
37. Dispersion measures _________. (Choose the correct alternative)
(a) The scatterness of a set of observations (b) The concentration of a set of observations
(c) Both (a) and (b) (d) Neither (a) nor (b)
38. When it comes to comparing two or more distributions we consider: (Choose the correct alternative)
(a) Absolute measures of dispersion (b) Relative measures of dispersion
(c) Both (a) and (b) (d) Either (a) or (b)
39. Which one is easier to compute? (Choose the correct alternative)
(a) Relative measures of dispersion (b) Absolute measures of dispersion
(c) Both (a) and (b) (d) Range

Statistics for Economics XI – by Subhash Dey


40. Which one is an absolute measure of dispersion? (Choose the correct alternative)
(a) Range (b) Mean Deviation
(c) Standard Deviation (d) All these measures
41. Which measure of dispersion is not affected by the presence of extreme observations?
(Choose the correct alternative)
(a) Range (b) Mean deviation
(c) Standard deviation (d) Quartile deviation
42. Which measure of dispersion is based on the absolute deviations only? (Choose the correct alternative)
(a) Standard deviation (b) Mean deviation
(c) Quartile deviation (d) Range
43. Which measure is based on only the central fifty percent of the observations?
(Choose the correct alternative)
(a) Standard deviation (b) Quartile deviation
(c) Mean deviation (d) All these measures
44. Which measure of dispersion is based on all the observations? (Choose the correct alternative)
(a) Mean deviation (b) Standard deviation
(c) Quartile deviation (d) Both (a) and (b)

249
45. The appropriate measure of dispersion for open-end classification is: (Choose the correct alternative)
(a) Standard deviation (b) Mean deviation
(c) Quartile deviation (d) All these measures
46. The most commonly used measure of dispersion is: (Choose the correct alternative)
(a) Range (b) Standard deviation
(c) Coefficient of variation (d) Quartile deviation
47. Which measure of dispersion has some desirable mathematical properties?
(Choose the correct alternative)
(a) Standard deviation (b) Mean deviation
(c) Quartile deviation (d) All these measures
48. Which measure of dispersion is considered for finding a pooled measure of dispersion after
combining several groups? (Choose the correct alternative)
(a) Mean deviation (b) Standard deviation
(c) Quartile deviation (d) All these measures
49. The range of 15, 12, 10, 9, 17, 20 is: (Choose the correct alternative)
(a) 5 (b) 12
(c) 13 (d) 11
50. The standard deviation of 10, 16, 10, 16, 10, 10, 16, 16 is: (Choose the correct alternative)
(a) 4 (b) 6
(c) 3 (d) 0
51. What is the coefficient of range for the following wages (in `) of 8 workers?
(Choose the correct alternative)
80, 65, 90, 60, 75, 70, 72, 85
(a) `35 (b) `25
(c) `30 (d) `20
52. What is the value of mean deviation about mean for the following numbers?
Chapter 6 – Measures of Dispersion

(Choose the correct alternative)


5, 8, 6, 3, 4
(a) 5.20 (b) 7.20
(c) 1.44 (d) 2.23
53. The quartiles of a variable are 45, 52 and 65 respectively. Its quartile deviation is ________. Fill in
the blank.
54. ______ divide the total number of observations into 4 equal parts. (Choose the correct alternative)
(a) median (b) deciles
(c) quartiles (d) percentiles
55. ___________ quartile is known as Upper quartile. (Choose the correct alternative)
(a) First (b) Second
(c) Third (d) None of these
56. Lower quartile is: (Choose the correct alternative)
(a) first quartile (b) second quartile
(c) upper quartile (d) None of these

250
57. The number of observations smaller than lower quartile is the same as the number lying between lower
and middle quartile. (True/False)
58. The second quartile is known as _________. (Choose the correct alternative)
(a) median (b) lower quartile
(c) upper quartile (d) None of these
59. The lower & upper quartiles are used to define: (Choose the correct alternative)
(a) Standard deviation (b) Mean deviation
(c) Quartile deviation (d) All these measures
60. Less than First quartile, the frequency is equal to: (Choose the correct alternative)
(a) N/4 (b) 3N/4
(c) N/2 (d) None of these
61. Between first & second quartile, the frequency is equal to: (Choose the correct alternative)
(a) 3N/4 (b) N/2
(c) N/4 (d) None of these
62. Between second & upper quartile, the frequency is equal to: (Choose the correct alternative)
(a) 3N/4 (b) N/4
(c) N/2 (d) None of these
63. Above upper quartile, the frequency is equal to: (Choose the correct alternative)
(a) N/4 (b) N/2
(c) 3N/4 (d) None of these
64. Corresponding to first quartile, the cumulative frequency is: (Choose the correct alternative)
(a) N/2 (b) N/4
(c) 3N/4 (d) None of these
65. Corresponding to upper quartile, the cumulative frequency is: (Choose the correct alternative)

Statistics for Economics XI – by Subhash Dey


(a) 3N/4 (b) N/4
(c) 2N/4 (d) None of these
66. The values which divide the total number of observations into 10 equal parts are:
(Choose the correct alternative)
(a) quartiles (b) percentiles
(c) deciles (d) None of these
67. The values which divide the total number of observations into 100 equal parts is:
(Choose the correct alternative)
(a) percentiles (b) quartiles
(c) deciles (d) None of these
68. 10th percentile is equal to: (Choose the correct alternative)
(a) 1st decile (b) 10th decile
(c) 9th decile (d) None of these
69. (3rd quartile – 1st quartile)/2 is: (Choose the correct alternative)
(a) coefficient of quartile deviation (b) median
(c) quartile deviation (d) inter-quartile range
70. Quartile deviation is a measure of dispersion. (True/False)
71. To define quartile deviation we use: (Choose the correct alternative)
(a) lower & middle quartiles (b) lower & upper quartiles
(c) upper & middle quartiles (d) None of these

251
72. Rank of median is: (Choose the correct alternative)
(a) (n + 1)/2 (b) (n + 1)/4
(c) 3(n + 1)/4 (d) None of these
73. Rank of 1st quartile is: (Choose the correct alternative)
(a) (n + 1)/2 (b) (n + 1)/4
(c) 3(n + 1)/4 (d) None of these
74. Rank of 3rd quartile is: (Choose the correct alternative)
(a) 3(n + 1)/4 (b) (n + 1)/4
(c) (n + 1)/2 (d) None of these
75. ________ is equal to value corresponding to cumulative frequency (N + 1)/2 from simple frequency
distribution. Fill in the blank.
76. ________ is equal to the value corresponding to cumulative frequency (N + 1)/4 from simple
frequency distribution. (Choose the correct alternative)
(a) Median (b) 1st quartile
(c) 3rd quartile (d) 1st decile
77. _______ is equal to the value corresponding to cumulative frequency 3 (N + 1)/4 from simple
frequency distribution. (Choose the correct alternative)
(a) Median (b) 1st quartile
(c) 3rd quartile (d) 1st decile
78. Standard Deviation is ________. (absolute measure/relative measure) Fill in the blank with correct
word.
79. Coefficient of variation is ______. (absolute measure/relative measure) Fill in the blank with correct word.
80. ________ is also called semi-interquartile range. Fill in the blank with correct word.
81. ________ is defined as half the difference between the lower & upper quartiles. Fill in the blank
with correct word.
Chapter 6 – Measures of Dispersion

82. Quartile Deviation for the data 1, 3, 4, 5, 6, 6, 10 is: (Choose the correct alternative)
(a) 3 (b) 1
(c) 6 (d) 1.5
83. Coefficient of Quartile Deviation is: (Choose the correct alternative)
(a) (Quartile Deviation × 100)/Median (b) (Quartile Deviation × 100)/Mean
(c) (Quartile Deviation × 100) /Mode (d) None of these
84. Coefficient of standard deviation = (Standard Deviation × 100)/Mean. (True/False)
85. If Mean = 5, s = 2.6 then the coefficient of variation is: (Choose the correct alternative)
(a) 49 (b) 51
(c) 50 (d) 52
86. If median = 5, Quartile deviation = 1. 5 then the coefficient of quartile deviation is:
(Choose the correct alternative)
(a) 33 (b) 35
(c) 30 (d) 20

252
87. The deviations from median are _________ if negative signs are ignored as compared to other
measures of central tendency. (Choose the correct alternative)
(a) minimum (b) maximum
(c) same (d) None of these
88. ________ is used when the sum of absolute deviations from the average should be least.
(Choose the correct alternative)
(a) Mean (b) Mode
(c) Median (d) None of these
89. _____ in particular helps in finding out the variability of the data. (Choose the correct alternative)
(a) Dispersion (b) Median
(c) Mode (d) Mean
90. The amount of variation is designated as _______ (absolute measure/relative measure) of dispersion.
Fill in the blank.
91. The degree of variation is designated as_______ (absolute measure/relative measure) of dispersion. Fill
in the blank.
92. For purposes of comparison between two or more series with varying size or number of items, varying
central values or units of calculation, only ________ (absolute measures/relative measures) of dispersion
can be used. Fill in the blank.
93. _______ is extremely sensitive to the size of the sample. (Choose the correct alternative)
(a) Range (b) Mean
(c) Median (d) Mode
94. As the sample size increases, _______ also tends to increase. (Choose the correct alternative)
(a) Range (b) Mean

Statistics for Economics XI – by Subhash Dey


(c) Median (d) Mode
95. The dependence of range on extreme items can be avoided by adopting _______.
(Choose the correct alternative)
(a) standard deviation (b) mean deviation
(c) quartile deviation (d) None of these
96. Quartile deviation is called _______.
(a) semi inter-quartile range (b) quartile range
(c) quartile deviation (d) coefficient of quartile deviation
st
97. When 1 quartile = 20, 3rd quartile = 30, the value of quartile deviation is:
(a) 7 (b) 4
(c) –5 (d) 5
98. Standard deviation is denoted by:
(a) s2 (b) s
(c) s (d) None of these
99. The square of standard deviation is known as _______. Fill in the blank.
100. (Q3 – Q1)/(Q3 + Q1) is: (Choose the correct alternative)
(a) coefficient of quartile deviation (b) coefficient of mean deviation
(c) coefficient of standard deviation (d) coefficient of variation
101. The value of the standard deviation does not depend upon the choice of the origin. (True/False)

253
102. Coefficient of standard deviation is: (Choose the correct alternative)
(a) S.D/Median (b) S.D/Mean
(c) S.D/Mode (d) None of these
103. The value of the standard deviation will change if any one of the observations is changed. (True/False)
104. Mean is an absolute measure & standard deviation is based upon it. Therefore standard deviation is
a relative measure. (True/False)
105. Quartile deviation is based on the _______ of the items. (Choose the correct alternative)
(a) highest 50% (b) lowest 25%
(c) highest 25% (d) middle 50%
106. Coefficient of variation is independent of the unit of measurement. (True/False)
107. Coefficient of variation is a relative measure of _______. (Choose the correct alternative)
(a) mean (b) deviation
(c) range (d) dispersion
108. Coefficient of variation is equal to: (Choose the correct alternative)
(a) Standard deviation × 100 / median (b) Standard deviation × 100 / mode
(c) Standard deviation × 100 / mean (d) None of these
109. Coefficient of Quartile Deviation is equal to: (Choose the correct alternative)
(a) Quartile deviation × 100 / median (b) Quartile deviation × 100 / mean
(c) Quartile deviation × 100 / mode (d) None of these
110. If each item is reduced by 20, then the standard deviation ________. (increases/decreases/remains
unchanged) Fill in the blank with correct word.
111. If the variables are increased or decreased by the same amount, the standard deviation _______.
(increases/decreases/remains unchanged) Fill in the blank with correct word.
112. The S.D is always taken from _______. (Choose the correct alternative)
(a) median (b) mode
(c) mean (d) quartiles
Chapter 6 – Measures of Dispersion

113. Coefficient of Standard deviation is equal to: (Choose the correct alternative)
(a) S.D/A.M (b) A.M/S.D
(c) S.D/G.M (d) None of these
114. The distribution, for which the coefficient of variation is less, is _______ (less/more) consistent. Fill
in the blank with correct word.
115. Fifth decile is equal to _________. Fill in the blank.
116. There are _______ deciles. Fill in the blank.
117. There are _______ percentiles. Fill in the blank.
118. If each item is reduced by 10, the range is: (Choose the correct alternative)
(a) increased by 10 (b) decreased by 10
(c) unchanged (d) None of these
119. If the same amount is added to or subtracted from all the values, variance & standard deviation shall
_______. (be changed/remain unchanged) Fill in the blank with correct word.
120. For values lie close to the mean, the standard deviations are _______. (big/small/moderate) Fill in
the blank with correct word.

254
Exercises
1. What is meant by ‘dispersion’? Distinguish between ‘Absolute’ and ‘Relative’ measures of dispersion.
(6 marks)
2. Explain briefly the absolute measures of dispersion. (4 marks)
3. Explain briefly the relative measures of dispersion. (4 marks)
4. Define ‘Range’. State its two limitations. Explain how, notwithstanding its limitations, range is used
frequently. Give an example. (4 marks)
5. What information is revealed by ‘Quartile Deviation’? Give an example. State any two merits of Quartile
Deviation. (4 marks)
6. Explain briefly the two measures of dispersion which are based upon deviation of the values from their
average. (4 marks)
7. What is ‘Mean Deviation’? State any one merit and one limitation of Mean Deviation. (3 marks)
8. What is ‘Standard Deviation’? Explain the four alternative methods for the calculation of Standard
Deviation of individual values with the help of an example. (6 marks)
9. What is ‘Standard Deviation’? Explain how is it independent of origin but not independent of scale.
(4 marks)
10. What are ‘quartiles’? Explain the three quartiles. (4 marks)
11. Distinguish between mean deviation and standard deviation. (3 marks)
12. Why do we calculate the coefficients of the measure of dispersion? (3 marks)

Statistics for Economics XI – by Subhash Dey



Chapter 6: Measures of Dispersion
Time allowed : 3 hours Maximum Marks : 80
1. Calculate the range of the following data: (Choose the correct alternative) (1)
Weight (in gms.) No. of Apples
410-419 14
420-429 20
430-439 42
440-449 54
450-459 45
460-469 18
470-479 7
(a) 7 (b) 69
(c) 60 (d) 70

255
2. Average daily wage of 50 workers of a factory was `200 with a standard deviation of `40. Each worker is given
a raise of `20. What will be its effect? (Choose the correct alternative) (1)
(a) The standard deviation will remain the same. (b) The average daily wage will increase.
(c) The wages will become more uniform. (d) All of these
3. Consider the following values: 20, 30, 40, 50, 200. If 50 is replaced by 150, what is the effect on Range?
(Choose the correct alternative) (1)
(a) It increases. (b) It decreases.
(c) It remains unchanged. (d) None of these
4. We see the maximum and minimum temperatures of different cities almost daily on our TV screens and form
judgments about the temperature variations in them. Which measure of dispersion is calculated to judge the
temperature variations? (1)
5. Suppose we have data about incomes of people of a town. Now, if all people are divided into two equal groups
of rich and poor. ______________ will tell us the average difference between medians of these two groups
belonging to rich and poor, from the median of the entire group. (Choose the correct alternative) (1)
(a) Range (b) Quartile Deviation
(c) Mean Deviation (d) Standard Deviation
6. Look at the following two sets of values.
X : 5, 9, 16
Y : 1, 9, 20
X = 10, Y = 10
Values of Y are farther from the average and hence more dispersed than values of X. _________ tries to
overcome this problem by ignoring the signs of deviations, i.e., it considers all deviations positive.
(Choose the correct alternative) (1)
(a) Range (b) Quartile Deviation
(c) Mean Deviation (d) Standard Deviation
7. Suppose a college is proposed for students of five towns A, B, C, D and E which lie in that order along a road.
Distances of towns in kilometres from town A and number of students in these towns are given below:
Chapter 6 – Measures of Dispersion

Town Distance from town A No. of Students


A 0 90
B 2 150
C 6 100
D 14 200
E 18 80
620
Now, if the college is situated in town A, 150 students from town B will have to travel 2  kilometers each (a total
of 300 kilometres) to reach the college. The objective is to find a location so that the average distance travelled
by students is minimum.
___________ is the appropriate statistical tool to estimate the average distance travelled by students.
(Choose the correct alternative) (1)
(a) Arithmetic mean (b) Mean deviation
(c) Median (d) Standard Deviation
8. Find the smallest item of the data if the coefficient of range is 0.6 and the largest value is 60. (1)
9. If difference of two quartiles = 8 and sum of two quartile = 22, find out Q.D. and its coefficient. (1)
10. If Q3 =9, coefficient of Q.D.= 0.089, find the value of Q1. (1)

256
11. Calculate the standard deviation if coefficient of variation is 23.21, number of item is 110 and mean is 21. (1)
12. If the profits of a company remains the same for the last ten months, then the standard deviation of profits for
these ten months would be _________. (Choose the correct alternative) (1)
(a) Positive (b) Negative
(c) Zero (d) None of these
13. If all the observations are increased by 10, then: (Choose the correct alternative) (1)
(a) S.D would be increased by 10. (b) Mean deviation would be increased by 10.
(c) Quartile deviation would be increased by 10. (d) All these three remain unchanged.
14. If all the observations are multiplied by 2, then: (Choose the correct alternative) (1)
(a) New S.D would be also multiplied by 2. (b) New S.D would be half of the previous S.D.
(c) New S.D would be increased by 2. (d) New S.D would be decreased by 2.
15. What is the coefficient of range for the following distribution? (Choose the correct alternative) (1)
Class Interval 10-19 20-29 30-39 40-49 50-59
Frequency 11 25 16 7 3
(a) 22 (b) 50
(c) 72.46 (d) 75.82
16. What is the value of mean deviation about mean for the following observations? (Choose the correct alternative) (1)
50, 60, 50, 50, 60, 60, 60, 50, 50, 50, 60, 60, 60, 50
(a) 5 (b) 7
(c) 35 (d) 10
17. The coefficient of mean deviation about mean for the first 9 natural numbers is: (Choose the correct alternative) (1)
(a) 200/9 (b) 80

Statistics for Economics XI – by Subhash Dey


(c) 400/9 (d) 50
18. What is the standard deviation of 5, 5, 9, 9, 9, 10, 5, 10, 10? (Choose the correct alternative) (1)
(a) 14 (b) 42
3
(c) 4.50 (d) 8
19. What is the coefficient of variation of the following numbers? (Choose the correct alternative) (1)
53, 52, 61, 60, 64
(a) 8.09% (b) 18.08%
(c) 20.23% (d) 20.45%
20. Corresponding to second quartile, the cumulative frequency is: (Choose the correct alternative) (1)
(a) N/4 (b) N/2
(c) 3N/4 (d) None of these
21. When all the values are equal then variance & standard deviation would be: (Choose the correct alternative) (1)
(a) 2 (b) –1
(c) 1 (d) 0
22. Coefficient of Quartile Deviation = Quartile Deviation × 100/Median. (True/False) (1)
23. Coefficient of variation of two series are 58% and 69%. Their standard deviation are 21.2 and 15.6. what are
their means? (1)
24. After settlement the average weekly wage in a factory had increased from 8 to 12 and standard deviation had
increased from 1 to 1.5. The wage have become higher and more uniform after settlement. Comment. (1)

257
25. What is the mean deviation about mean for the following distribution? (Choose the correct alternative) (3)
Variable 5 10 15 20 25 30
Frequency 3 4 6 5 3 2
(a) 6 (b) 5.93
(c) 6.07 (d) 7.2
26. What is the mean deviation about median for the following data? (Choose the correct alternative) (3)
Variable 3 5 7 9 11 13 15
Frequency 2 8 9 16 14 7 4
(a) 2.5 (b) 2.46
(c) 2.43 (d) 2.37
27. What is the coefficient of mean deviation for the following distribution of heights? Take deviation from
Arithmetic Mean. (Choose the correct alternative) (3)
Height (in inches) 60-62 63-65 66-68 69-71 72-74
No. of students 5 22 18 17 3
(a) 2.3 inches (b) 3.45 inches
(c) 3.82 inches (d) 2.48 inches
28. What is the mean deviation about median for the following distribution? (Choose the correct alternative) (3)
Weight (in lb) 131-140 141-150 151-160 161-170 171-180 181-190
No. of persons 3 8 13 15 6 5
(a) 10.97 (b) 8.23
(c) 9.63 (d) 11.45
29. What is the standard deviation from the following data relating to the age distribution of 200 persons?
(Choose the correct alternative) (3)
Age (in years) 20 30 40 50 60 70 80
Chapter 6 – Measures of Dispersion

No. of persons 13 28 31 46 39 23 20
(a) 15.29 (b) 16.87
(c) 18 (d) 17.52
30. What is the coefficient of variation for the following distribution of wages? (Choose the correct alternative) (3)
Daily wages (in `) 30-40 40-50 50-60 60-70 70-80 80-90
No. of workers 17 28 21 15 13 6
(a) 14.73% (b) 14.37%
(c) 26.93% (d) 20.82%
31. Which of the following companies A and B is more consistent so far as the payment of dividend is concerned?
(Choose the correct alternative) (3)
Dividend paid by A 5 9 6 12 15 10 8 10
Dividend paid by B 4 8 7 15 18 9 6 6
(a) Company A (b) Company B
(c) Both (a) and (b) (d) Neither (a) nor (b)

258
32. The mean and SD for a group of 100 observations are 65 and 7.03 respectively. If 60 of these observations
have mean and SD as 70 and 3 respectively, what is the SD for the group comprising 40 observations?
(Choose the correct alternative) (3)
(a) 16 (b) 25
(c) 4 (d) 2
33. If two samples of sizes 30 and 20 have means as 55 and 60 and variances as 16 and 25 respectively, then what
would be the SD of the combined sample of size 50? (Choose the correct alternative) (3)
(a) 5.00 (b) 5.06
(c) 5.23 (d) 5.35
34. The mean and SD of a sample of 100 observations were calculated as 40 and 5.1 respectively by a CA student
who took one of the observations as 50 instead of 40 by mistake. The current value of SD would be:
(Choose the correct alternative) (3)
(a) 4.90 (b) 5
(c) 4.88 (d) 4.85
35. The value of appropriate measure of dispersion for the following distribution of daily wages is given by:
(Choose the correct alternative) (3)
Wages (in `) Below 30 30-39 40-49 50-59 60-79 Above 80
No. of workers 17 28 21 15 13 6
(a) `11.03 (b)
`10.5
(c) `11.68 (d) None of these
36. Find the range which covers middle 50% of the items from the following data: (4)
X 11-20 21-30 31-40 41-50 51-60

Statistics for Economics XI – by Subhash Dey


f 4 8 20 12 6
37. Calculate lower and upper quartiles, when quartile deviation = 10 and coefficient of quartile deviation = 0.5. (3)
38. The Mean and Standard Deviation of two brands of light bulbs are given below. Calculate a relative measure of
dispersion for two brands and interpret the result. (3)
Brand I Brand II
Mean 800 hours 770 hours
Standard deviation 100 hours 60 hours
39. Find out which batsman is more consistent in his performance. (3)
Batsman A Batsman B
Average score 46 50
Standard deviation 25.5 24.43
40. Calculate appropriate measure of dispersion (absolute and relative both) from the following data. (4)
Marks Less than 20 20-30 30-40 Above 40
No. of students 7 10 14 9
41. Average daily wage of 50 workers of a factory was `200 with a standard deviation of `40.
(a) Each worker is given a raise of `20. What is the new average daily wage?
(b) Have the wages become more or less uniform?
(c) If each worker is given a hike of 10% in the wages, how are the mean and standard deviation affected? (6)

259
Self Assessment Test 1

Measures of Dispersion
Time allowed : 1 hour Maximum Marks : 25
Q.1 Which measure of dispersion covers middle 50% of the items? (1 mark)
Q.2 Variance is the square of _________. (mean deviation/ standard deviation) (Choose the correct option) (1 mark)
Q.3 If each item of a series is increased by 5, then what is the effect on standard deviation?
(Choose the correct alternative) (1 mark)
(a) Increase by 5 (b) Decrease by 5
(c) Increase by 25 (d) No change

Q.4 Which of the following measure is not a absolute measure of dispersion? (Choose the correct alternative) (1 mark)
(a) Range (b) Mean Deviation
(c) Coefficient of Range (d) Quartile Deviation
Q.5 Which of the following is a demerit of standard deviation? (Choose the correct alternative) (1 mark)
(a) Based on all values (b) Difficult to compute
(c) Rigidly defined (d) Capable of algebraic treatment

Q.6 A measure of dispersion is a good supplement to the central value in understanding a frequency distribution.
Comment. (3 marks)

Q.7 Calculate lower quartile and upper quartile from following data. Also interpret the results. (3 marks)
Marks of Students 60 38 46 43 50 58 65 69

Q.8 For a group of 60 boys students the mean and standard deviation of marks in statistics are 45 and 2 respectively.
The same figures for a group of 40 girls students are 55 and 3 respectively. What is the mean and standard
deviation of marks if the two groups are pooled together? (4 marks)

Q.9 Compute the coefficient of mean deviation about median for the following distribution: (4 marks)
Chapter 6 – Measures of Dispersion

Weight (in kg) 40-50 50-60 60-70 70-80


No. of Persons 8 12 20 10

Q.10 Compute the coefficient of variation for the following distribution: (6 marks)
Age (below) (in years) 10 20 30 40 50 60
No. of persons 10 18 30 45 60 80

260
Self Assessment Test 2

Measures of Dispersion
Time allowed : 1 hour Maximum Marks : 25
Q.1 If each item of a series is multiplied by 2, then what is the effect on standard deviation?
(Choose the correct alternative) (1 mark)
(a) Increased by 2 (b) Multiplied by 2
(c) Decreased by 2 (d) Gets halved
Q.2 If the incomes of top 10% wage-earners get doubled, then what is the effect on quartile deviation?
(Choose the correct alternative) (1 mark)
(a) Gets doubled (b) Gets halved
(c) Do not change (d) None of these
Q.3 Which of the following measure is an absolute measure of dispersion? (Choose the correct alternative) (1 mark)
(a) Coefficient of range (b) Coefficient of mean deviation
(c) Coefficient of variation (d) Standard deviation
Q.4 The square of standard deviation is known as: (Choose the correct alternative) (1 mark)
(a) Coefficient of standard deviation (b) Quartile deviation
(c) Mean deviation (d) Variance
Q.5 Which measure of dispersion is not affected by extreme observations? (Choose the correct alternative) (1 mark)
(a) Standard deviation (b) Mean deviation
(c) Range (d) Quartile deviation
Q.6 Which measure of dispersion is the best and how? (3 marks)
Q.7 Calculate the lower and upper quartiles from the following data: (3 marks)

Statistics for Economics XI – by Subhash Dey


Mid value 2.5 7.5 12.5 17.5 22.5 Above 50
Frequency 7 18 25 30 20 3
Q.8 The mean and standard deviation of the salaries of the two factories are given below: (4 marks)
Factory A Factory B
No. of employees 30 20
Mean salary (`) 4800 5000
Standard deviation of salary (`) 10 12
(a) Find the combined mean salary.
(b) Examine which factory has more consistent salary structure.
Q.9 Calculate Mean Deviation from Mean: (4 marks)
Profits (` in lakh) 10–20 20–30 30–50 50–70 70–80 Total
No. of Companies 5 8 16 8 3 40

Q.10 From the following data find out which factory has more uniformity in the distribution of wages: (6 marks)
Wages (in `) 20 60 100 140 180 220 260 300
No. of workers in
30 25 30 45 25 13 24 8
Factory A
No. of workers in
45 35 25 40 25 20 5 5
Factory B

261
Self Assessment Test 3

Measures of Dispersion
Time allowed : 1 hour Maximum Marks : 25
Q.1 Which of the following measure is a relative measure of dispersion? (Choose the correct alternative) (1 mark)
(a) Standard deviation (b) Mean deviation
(c) Coefficient of variation (d) Quartile deviation
Q.2 The most commonly used measure of dispersion is: (Choose the correct alternative) (1 mark)
(a) Standard deviation (b) Quartile deviation
(c) Variance (d) Coefficient of mean deviation
Q.3 Which measure of dispersion ignores signs of deviation from a central value? (Choose the correct alternative) (1 mark)
(a) Standard deviation (b) Mean deviation
(c) Range (d) Quartile deviation
Q.4 Which measure of dispersion does not have a unit? (Choose the correct alternative) (1 mark)
(a) Standard deviation (b) Quartile deviation
(c) Range (d) Coefficient of mean deviation
Q.5 Which measure of dispersion is most affected by extreme observations? (Choose the correct alternative) (1 mark)
(a) Standard deviation (b) Mean deviation
(c) Range (d) Quartile deviation
Q.6 Some measures of dispersion depend upon the spread of values whereas some are estimated on the basis of the
variation of values from a central value. Do you agree? (3 marks)
Q.7 Find an appropriate measure of dispersion from the following data: (3 marks)
Marks Below 10 10-20 20-30 30-40 40-50 Above 50
No. of Students 16 14 23 17 7 3

Q.8 The number of employees, wages per employee and the variance of wages per employee for two factories are
given below: (4 marks)
Factory A Factory B
Chapter 6 – Measures of Dispersion

Number of employees 50 100


Average wages per day (`) 120 85
Variance of wages per day (`) 9 16
Suppose in factory B, the wage of an employee are wrongly noted as `120 instead of `100. What would be the
correct variance for factory B?
Q.9 Calculate the mean deviation about mean and the coefficient of mean deviation. (4 marks)
Marks 0–10 10–20 20–30 30–40 40–50 50–60 60–70
No. of Students 5 12 15 25 8 3 2

Q.10 You are given the distribution of wages in two factories A and B. State in which factory, the wages are more
variable. Give reasons in support of your answer. (6 marks)
Wages (in `) 100-200 200-300 300-400 400-500 500-600 600-700
No. of workers in
8 12 17 10 2 1
Factory A
No. of workers in
6 18 25 12 2 2
Factory B

262
Check List to Objective Type Questions

( Q 3 − Q 2 ) + (Q 2 − Q 1 ) Q 3 − Q1 33. Percentiles, 99
1. True: Q.D. = =
2 2 34. (b) 35. median
If the entire group is divided into two equal halves and 36. (d) 37. (a)
the median is calculated for each half, these medians 38. (b) 39. (d)
differ from the median of the entire group by Q.D. 40. (d) 41. (d)
2. (b) 8.33% 42. (b) 43. (b)
3. (c) Both (a) and (b) 44. (d) 45. (c)
4. variation 46. (b) 47. (a)
5. average 48. (b) 49. (d)
6. (a) Range, Quartile Deviation 50. (c) 51. (d)
7. (b) Mean deviation, Standard deviation 52. (c) 53. 10
8. Standard Deviation 54. (c) 55. (c)
9. higher 56. (a) 57. True
10. True: Range is unduly affected by extreme values as it 58. (a) 59. (c)
is not based on all the values. 60. (a) 61. (c)
11. minimum, maximum 62. (b) 63. (a)
12. (d) open-ended series 64. (b) 65. (a)
13. Range, Quartile Deviation or Standard Deviation or 66. (c) 67. (a)
Mean Deviation 68. (a) 9. (c)
14. middle 50% 70. True 71. (b)
15. inter-quartile range 72. (a) 73. (b)
16. Semi-Inter Quartile Range 74. (a) 75. Median
17. median 76. (b) 77. (c)
18. Mode 78. absolute measure 79. relative measure

Statistics for Economics XI – by Subhash Dey


19. (c) Mean Deviation 80. Quartile deviation 81. Quartile deviation
20. median, mean 82. (d) 83. (a)
21. (c) Mean Deviation 84. False 85. (d)
22. (c) Mean Deviation 86. (c) 87. (a)
23. (d) Standard Deviation 88. (c) 89. (a)
24. variance 90. absolute measure 91. relative measure
25. True: Standard deviation is not affected by the value 92. relative measures 93. (a)
of the constant from which deviations are calculated. 94. (a) 95. (c)
The value of the constant does not figure in the 96. (a) 97. (d)
standard deviation formula. Thus, Standard deviation
98. (b) 99. variance
is Independent of Origin.
100. (a) 101. True
26. zero
102. (b) 103. True
27. False: Standard deviation is not independent of scale.
104. False 105. (d)
Thus, if the values or deviations are divided by a
common factor, the value of the common factor 106. True 107. (d)
is used in the formula to get the value of standard 108. (c) 109. (a)
deviation. 110. remains unchanged 111. remains unchanged
28. (d) Standard Deviation 112. (c) 113. (a)
29. (d) Coefficient of Variation 114. more 115. median
30. (b) 50% 116. 9 117. 99
31. (i) – (C), (ii) – (A), (iii) – (B) 118. (c) 119. remain unchanged
32. median 120. small

263
Chapter 6 – Measures of Dispersion

Notes

264
Correlation

Statistics for Economics XI – by Subhash Dey


CBSE Syllabus 2020-21
 Correlation – meaning and properties
 Scatter Diagram
 Measures of Correlation – Karl Pearson’s method (two variables ungrouped
data) and Spearman’s rank correlation.
7
Learning Objectives
Chapter
Studying this chapter should enable you to:
 understand the meaning of the term correlation;
 understand the nature of relationship between two variables;
 calculate the different measures of correlation;
 analyse the degree and direction of the relationships.

265
Introduction to
Index Numbers

Statistics for Economics XI – by Subhash Dey


CBSE Syllabus 2020-21
 Meaning, types - wholesale price index, consumer price index 8
and index of industrial production
 Uses of index numbers
 Inflation and index numbers
Chapter

Learning Objectives
Studying this chapter should enable you to:
 understand the meaning of the term index number
 become familiar with the use of some widely used index numbers
 calculate an index number
 appreciate its limitations.

319
Statistics for Economics XI – by Subhash Dey
Preparing for Examinations
The aim of this guide is to help you prepare for your examinations by:
 informing you about the various skills and abilities that are assessed in the Economics XI examinations.
 helping you with a few tips on how to plan your preparation for examinations in an effective way.
 telling you why some students do not succeed or perform to their true ability in the examinations.
 making you feel confident in tackling examination questions and knowing what examiners expect when marking
your script.
FORMULAE – Measures of Central Tendency, Measures of Dispersion, Correlation and Index Numbers
Important tips for attempting Economics XI Examination
Model Sample Question Paper with Solutions through Author’s Pen
20 Sample Question Papers (based on new sample question paper design of CBSE)
You can help yourself greatly in preparing for the final Economics XI Examination by following some important steps.
No one likes examinations but there is no need to be afraid of them if you prepare yourself well. The seeds for success
are sown long before you enter the examination room. The key thing is to be prepared. It is worth remembering:
‘If you fail to prepare, you are preparing to fail.’
Why not put this on your wall? But if you do, remember to practice what it says.

363
A few hints on how to study effectively
 Read through your book on a daily basis and feel confident that you have understood the main subject
content. When reading, underline or highlight the key points. They make notes on what you have read.
Writing and working in this way greatly enhances your understanding of a topic.
Tick off each topic (from the syllabus given at the start of each unit) as you revise and understand it.
When you have completed a chapter, Attempt ‘Self-Assessment Tests’—ideally without referring to the
book—so as to evaluate the understanding of concepts of the chapter.
 Revision is not something that is only confined to the last week or so before an examination. So:
‘make study a habit; make revision a habit.’
 Managing your time in an effective way is crucial. Remember:
‘it is not how much time you have but how you manage it.’
There should be regular periods in the week when you have spare blocks of time that you can devote to
studying Economics. Even if it is only 1 hour, if this is spent effectively, it will be of much value to you.
Remember:
‘it is not so much how long you study but how effective you are in your studying.’
 You should also try to have set places where you can study, ideally free from distractions such as loud
music, talking, television noise and so on. This may not be easy but try to have set times and places for
your study and stick to a routine. Put yourself in a position where you can concentrate on your study.
This is most unlikely to happen if your favourite television programme is on in the same room.
 Short sessions, but lots of them. Psychological studies have shown that our learning abilities decline
sharply after around 50 minutes of intensive study. The attention span of most people is 40-60 minutes.
After such a period, have a drink and a rest, may be do something else before studying for a further
period. Be as detailed as possible in your timetable; for example:
‘Saturday–revise Measures of Central Tendency is not detailed enough. Better to lay out your timetable
like this:
Saturday: 9.00 am to 9.40 am – Arithmetic Mean
Break – 10 minutes
9.50 am to 10.50 am – Median
Break – 20 minutes
Preparing for Examinations

11.10 am to 12.10 pm – M  ode


12.10 pm – lunch and rest
1:30 pm to 2:30 pm – M  iscellaneous Illustrations on Mean, Median and Mode
All of these simple things should help you feel relaxed and confident when you take the examinations.

Important Tips for Attempting Economics XI Examination



 During 15 minutes Reading Time, read all questions carefully. Select the Option to be answered in questions
having internal choice. When reading, underline the key lines with pencil which help you to write answers. Do
calculations for all Numerical Questions during the reading time.
 Timing is an essential ingredient of success. Attempting the full paper on time with at least 20 minutes Revision
Time in hand to check calculations is necessary to score 100% marks in Economics Paper. Economics paper is worth
80 marks and must be completed in 180 minutes. Allowing 20 minutes revision time, this leaves 160 minutes or
2 minutes per mark. So, do not spend 10 minutes on a question worth just 3 marks! Do not exceed the time you
have allocated for each question.
The following Time Schedule will help you managing your time when sitting the examination hall.

364
Statistics for Economics
Types of Questions Marks Word limit Number of Total Marks Estimated
Questions Time
OTQs/MCQs 1 One word to a sentence 10 10 10 min.
SA-I 3 60-80 words 2 6 10 min.
SA-II 4 80-100 words 3 12 30 min.
LA 6 100-150 words 2 12 30 min.
20 Minutes – Revision
Total 17 40 90 min.
 The following table shows a list of key directive words which are most likely to occur in Economics examination
questions. You should read these carefully and understand what each means.

Directive Words The examine is supposed to:


Name/Identify/Which Write the name of the concept/term only
Define Give the exact meaning
State Make clear
Explain Give clear reasons
Describe Give a description of
Illustrate Give example/diagram
Discuss Give the important arguments, for and against
Comment Give your reasoned opinions on

Statistics for Economics XI – by Subhash Dey


Calculate/Compute Work out using the information provided
Defend/Refute Write whether given statement is correct/incorrect

 To score 100% marks, the presentation of answers is as much important as their content.
 Don’t forget to write Question Number you are answering.
 Answer each question from new page (except 1 mark questions)
 Give answer in points, as far as possible, rather than in paragraphs.
 Leave one line space between two headings
 Leave at least 2-3 lines space between two answers of 1 mark questions.
 Step by Step Calculation is always appreciable by the examiner.
 Write the main heading in capital letters. (Use dark and bold pen like Pilot V10)
 Underline the headings with pencil.
 Explanation/description from next line of heading.
 Use bullets while giving explanation.
 Attempt all parts of a question together.
 Write impersonally. In other words, do not use ‘I’ or ‘We’ in your answers. For example, do not write — “I
don’t agree with the statement.” Rather you must write — “The given statement is not correct.”
 Take care with sentences and punctuation. In general, try to write short sentences.
 During last 20 minutes of revision, first of all make sure that you have attempted all the questions and written
Question Number for each answer. If any question(s) left, attempt it first. Don’t leave it even if you don’t know the
proper answer. Remember that writing something is always better than leaving it at all. Then check the calculations
in Numerical Questions one by one. Then, read your answers one by one underlining the key lines using pencil.
365
 Economics Paper requires a relaxed mind to attempt the Numerical Questions/Applying or Creating or Analysing
based Questions. ‘Study the whole night before the exam.’ is the major cause of under-performance in Economics
Paper. Successful students always have given proper rest to their mental faculty so as to do all calculations correctly
and to attempt Numerical Questions/Applying or Creating or Analysing based Questions when sitting the
Examination Hall.
In my teaching career, I’ve seen even good students making calculations as 2 × 3 = 5 or 1/0.2 = 2 who ultimately
score 70 or 80 per cent only, just because they had spent the whole night revising the whole syllabus and solving
numerical questions.
To conclude, it is very important for you to be well-organised and to be able to plan ahead if you are to score 100% marks
in Economics examination. Revision should be an ongoing process, not just a last-minute activity you carry out just before
a written examination. A lack of time and an inability to understand the relevance of directive words are the most common
causes of under performance.
My advice to you is:
To work hard and give your 100%.
Remember: Success will never lower its standard to accommodate you. You have to raise your standard to achieve it. For
every bird, God provides food but not in their nest.
Always believe in yourself. Don’t give up.
One thing keep in mind: You are something! Because God does not create garbage.
Always remember God.
Without Him, your all efforts are in vain! 0 0 0 0 0 0 0 = 0. But if you put 1 before these zeros, you get 1 crore (10000000).
We human beings are zeros without Him! And 1 is God!
I’ll feel pleasure to solve any of your queries/doubts related to the subject through my social media handles.

Phone/Whatsapp Number    9810475716


Facebook: Subhash Dey’s Shree Radhey Publications & Academy: https://www.facebook.com/Subhash-Deys-Shree-
Radhey-Publications-Academy-537031643452290/

Instagram: subhashdey_20: https://www.instagram.com/subhashdey_20/

Email: subhashdey200881@gmail.com
Mobile App: Shree Radhey Publications: https://play.google.com/store/apps/details?id=com.
shreeradheypublications&hl=en
Preparing for Examinations

Finally I pray the Supreme Divine to bestow the best of blessings on you!

Regards
Your servant

SUBHASH DEY
B.Com. (Hons.), M.Com. (DSE), M.A. (Economics), PGDBA (Finance), B.Ed, PGD in Labour and Administrative Laws
• Author and Publisher of CBSE Books – Accountancy, Business Studies, Economics, Mathematics and English
• M.Com (Delhi School of Economics)– Gold Medalist, Topper of Delhi University
• Consecutive four years’ Economics topper of Delhi University
• Ex-Lecturer of Commerce in Hindu College, Delhi University
• Resource Person and Educationist conducting Workshops/Seminars of Teachers and Students
• Founder/Director of ‘Shree Radhey Academy, The Gurukul’ (C-3/6 Yamuna Vihar, Delhi-53)

366
List of Formulae – Measures of Central Tendency or Averages
Averages Ungrouped Data Grouped Data Discrete Series Grouped Data Continuous Series
Arithmetic Direct Method Direct Method
Direct Method: X = ΣX
Mean (A.M.) N ΣfX Σfm
X= X=
SX = sum of all observations Σf Σf
N = number of observations SfX = sum of the product where, m = mid values
N1 X 1 + N 2 X 2 of variables and
Combined mean: X 12 = Assumed Mean Method
N1 + N 2 frequencies
Σfd
Sf = sum of frequencies X= A +
ΣWX Σf
Weighted A.M.: X w =
ΣW
Assumed Mean Method where, d = m – A
Σd Σfd
Assumed Mean Method: X= A + X= A + Step deviation method
N Σf
Σfd ′
A = assumed mean, Sd = S(X – A) Step Deviation Method X=A+ ×c
Σf
Σd ′ Σfd ′
Step-deviation Method: X =A + ×c X=A+ ×c m−A
N Σf where, d ′ =
c
(X - A )
c = common factor, d′ =
c

( ) ( )
Median th th Locate the median class,
N +1 N +1
Median = size of item Median = size of item
()
th
N
2 2 where item lies.
2
where N = No. of observations
( )
where, N = Sf

Statistics for Economics XI – by Subhash Dey


N
Note: The position of median - c.f .
Median = L + 2
can be located through ¥h
f
cumulative frequency.
where, L = lower limit of the
median class
c.f. = cumulative frequency of
the preceding class
f = frequency of the
median class
h = magnitude of the
median class interval

Mode The value which occurs maximum Mode can be determined just Modal class is the class with
number of times is the modal value. by inspection, i.e., by looking to largest frequency. Mode,
that value of the variable which D1
has the highest frequency. Mo = L + ¥h
D1 + D 2

L = lower limit of modal class


D1 = Frequency of modal class –
Frequency of preceding class
D2 = Frequency of modal
class – Frequency of
succeeding class
h = class size of the
distribution

367
List of Formulae – Measures of Dispersion
Absolute Measures of Dispersion Relative Measures of Dispersion
Range = Largest value (L) – Smallest value (S) L −S
Coefficient of Range =
L+S
Q 3 − Q1 Q 3 − Q1
Quartile Deviation (Q.D.) = , Inter-quartile range = Q3 – Q1 Coefficient of Q.D. =
2 Q 3 + Q1
Calculation of Quartiles in case of ungrouped data/individual series:

( ) ( )
th
N +1 th
Q1= size of item and Q3 = size of 3(N + 1) item
4 4

Calculation of Quartiles in case of discrete series (grouped data):

( ) ( )
th th
N +1
Q1 = size of item and Q3 = size of 3(N + 1) item (where, N = Sf )
4 4
The position of Q1 and Q3 can be located through cumulative frequency.

Calculation of Quartiles in case of continuous series (grouped data): Locate the Q1 class
and Q3 class where N/4th item and 3N/4th item lie.

Q1 = L +
( N
4
- c.f .)¥ h and Q3 = L +
3N
4
- c.f .
¥h
( )
f f
L = lower limit of the Q1/Q3 class c.f. = cumulative frequency of preceding class
f  = frequency of the Q1/Q3 class h = magnitude of the Q1/Q3 class
Mean Deviation Coefficient of Mean Deviation
For ungrouped data/individual series: M.D.( X )
Σd about mean =
Mean Deviation about Mean, M.D.( X ) = where, d= X − X X
n
Σd
Mean Deviation about Median, M.D.(Median) = where, d= X − Median Coefficient of Mean Deviation
n
For grouped data: M.D.(Median)
about median =
Σf d Median
X − X or d =
M.D.( X ) = , where d =
Σf
m−X (m =
mid value )
Preparing for Examinations

Σf d
M.D.(Median) = , where d = m − Median ( m =
X − Median or d = mid value )
Σf

Standard Deviation (σ = variance ) Coefficient of Variation


Standard Deviation
For ungrouped data/individual series: = × 100
Arithmetic Mean
( )
2
Σd 2 ΣX 2 ΣX ΣX 2
Actual Mean Method: σ= =
, (d= X − X) Direct Method: σ − = − (X)2
n n n n Coefficient of Standard
For grouped data: Deviation
Σfd 2 Standard Deviation
Actual Mean Method: σ=
Σf
, where d= X − X or d= m − X ( m= mid value ) =
Arithmetic Mean

( )
2
Σfd 2 Σfd
Assumed Mean Method: s =
Σf

Σf
, where d =
X − X or, d =
m−X (m =
mid value )

( )
2
Σfd ′2 Σfd ′
Step-deviation Method: s = − × c where, d = m – A and d′ = d/c
Σf Σf

368
List of Formulae – Correlation
Karl Pearson's Coefficient of Correlation

FORMULA 1: Using covariance and variance

Covariance (X,Y) Cov.(X, Y) Σ(X − X ) (Y − Y ) Σxy


r = where, Cov. (X, Y) = = ,
Variance of X × Variance of Y σx . σy N N

where x= X − X and y= Y − Y are the deviations of the values of X and Y from their actual mean values respectively.Also,

ΣXY Σ(X − X )2 Σ(Y − Y )2 ΣX 2 ΣY 2


=
Cov. (X, Y) = − X.Y . σ x = and σ y . Also,=
σx − (X )2 and =
σy − (Y )2
N N N N N

FORMULA 2: Using product of deviations of X and Y from their actual means and the standard deviations
Σxy
r=
N σx . σy

where x= X − X and y= Y − Y are the deviations of the values of X and Y from their actual mean values respectively.
FORMULA 3: By Actual Mean Method
Σxy
r=
Σ x 2 × Σy 2
where x= X − X and y= Y − Y are the deviations of the values of X and Y from their actual mean values respectively.
FORMULA 4: By Direct Method
NΣXY − ( ΣX )( ΣY )
r=

Statistics for Economics XI – by Subhash Dey


NΣX − ( ΣX )2
2
NΣY 2 − ( ΣY )2

FORMULA 5: By Assumed Mean Method


NΣdx.dy − (Σdx)(Σdy)
r=
NΣdx 2 − (Σdx)2 Σdy 2 − (Σdy)2

dx = X – A and dy = Y – B, where A and B are assumed means of X and Y.


FORMULA 6: By Step Deviation Method
NΣUV − (ΣU)(ΣU) X−A Y −B
r= where, U
= = and V
NΣU − (ΣV)2
2
NΣU 2 − (ΣV)2 h k

Spearman's Rank Correlation

FORMULA 1: Spearman’s rank correlation when ranks are not repeated:


6 Σ D2
rs = 1 −
N3 − N

FORMULA 2: Spearman’s rank correlation when ranks are repeated:

 (m 31 −m1 ) (m 23 −m 2 ) (m 33 −m3 ) 
6  ΣD 2 + + + + ...
 12 12 12 
rs = 1 − 3
N −N

m 31 −m1 m 23 −m 2 m 33 −m3
where m1, m2, m3, ... are the number of repetitions of ranks and , , ,... their corresponding correction factors.
12 12 12

369
List of Formulae – Index Number
Sp1
Simple aggregative price index:   P01 = ¥ 100
Sp 0

Weighted Aggregative Method


Sp1q 0
Laspeyre’s method: P01 = ¥ 100
Sp 0 q 0

Sp1q1
Paasche’s method: P01 = ¥ 100
Sp 0 q 0

Method of Averaging relatives

1 Ê p1 ˆ
Simple price relative index: P01 = S ¥ 100˜
n ÁË p0 ¯

Êp ˆ
SW Á 1 ¥ 100˜
Ë p0 ¯ SWR
Weighted price relative index: P01 = =
SW SW

Consumer Price Index (CPI) or Cost of living index


SWR p
1. Family Budget Method: CPI = , where R = 1 ¥ 100
SW p0

Sp1q 0
2. Aggregate Expenditure Method: CPI = ¥ 100
Sp 0 q 0
Index of Industrial Production (IIP)
SWR q
Preparing for Examinations

IIP01 = ¥ 100, where R = 1 ¥ 100


SW q0

where, IIP01 = Index of Industrial Production q1 = production level in the current year
q0 = production level in the base year W = weightage of different industrial output

Inflation and Index Numbers


Xt Xt
Weekly inflation rate: ¥ 100

where Xt and Xt–1 refer to the WPI for the t th and (t–1)th weeks.
Money wage
Purchasing power of money = and Real wage = ¥ 100
Cost of living index Cost of living index

370
Sample Question Papers

Suggested Question Paper Design


Class XI (2020-21)
March 2021 Examination
Economics XI (Code No. 030)
Marks: 80 Duration: 3 hrs.
S.
Typology of Questions Marks Percentage
No.

Statistics for Economics XI – by Subhash Dey


1. Remembering and Understanding
Exhibit memory of previously learned material by
recalling facts, terms, basic concepts, and answers.
44 55%
Demonstrate understanding of facts and ideas by
organizing, comparing, translating, interpreting, giving
descriptions, and stating main ideas.
2. Applying
Solve problems to new situations by applying acquired 18 22.5%
knowledge, facts, techniques and rules in a different way.
3. Analysing, Evaluating and Creating
Examine and break information into parts by identifying
motives or causes. Make inferences and find evidence to
support generalizations.
Present and defend opinions by making judgments about
18 22.5%
information, validity of ideas, or quality of work based on
a set of criteria.
Compile information together in a different way by
combining elements in a new pattern or proposing
alternative solutions.
TOTAL 80 100%

371
Model Sample Question Paper
(With Solutions through Author’s Pen)

General Instructions:
i. All the questions are compulsory. Marks for questions are indicated against each question.

ii. Question number 1 - 10 are very short-answer questions carrying 1 mark each to be answered in one word or one sentence each.

iii. Question number 11-12 are short-answer questions carrying 3 marks each. Answers to them should not normally exceed 60-80 words each.
iv. Question number 13-15 are also short-answer questions carrying 4 marks each. Answers to them should not exceed 80-100 words each.
v. Question number 16 - 17 are long answer questions carrying 6 marks each. Answers to them should not exceed 100-150 words each.
vi. Answer should be brief and to the point and the above word limit be adhered to as far as possible.

Section - A (Statistics for Economics)


Q.1 The sum of deviations of items from arithmetic mean is always equal to _______. (Fill up the blank) (1)
Q.2 Average daily wage of 50 workers of a factory was `200 with a standard deviation of `40. If each worker is given
a rise of `20. What will be its effect on standard deviation? (1)
Q.3 Dispersion based on only central fifty percent of the observation is called: (Choose the correct alternative) (1)
(a) Standard Deviation (b) Mean Deviation
(c) Quartile Deviation (d) Variance
Q.4 Which of the following statement is not a characteristic of mode?
(a) It is positional average. (b) It is used for further statistical analysis.
(c) It can be located on graph. (d) It is not based on all the values of the series. (1)
Q.5 Calculate the range of the following data: (Choose the correct alternative) (1)
Weight (in gms.) No. of Apples
410-419 14
420-429 20
430-439 42
440-449 54
Preparing for Examinations

450-459 45
460-469 18
470-479 7
(a) 7 (b) 69
(c) 60 (d) 70
Q.6 Which of the following diagram is the most effective in representing monthly rainfall in a year?
(Choose the correct alternative) (1)
(a) Pie Diagram (b) Multiple Bar Diagram
(c) Sub-divided Bar Diagram (d) Simple Bar Diagram
Q.7 How are mean, median and mode related to each other in a symmetrical distribution? (1)
Q.8 Census of India depicting growth rate of population in India is: (Choose the correct alternative) (1)
(a) Quantitative Classification (b) Qualitative Classification
(c) Chronological Classification (d) Spatial Classification

372
Q.9 Pre-testing of the questionnaire is known as ________. (Fill up the blank) (1)
Q.10 The scores of two batsmen Virat and Rohit are given for last 20 cricket matches played by them. Which measure
of central tendency will give better idea to ascertain who is the better run scorer?
(Choose the correct alternative) (1)
(a) Arithmetic Mean (b) Median
(c) Mode (d) Quartile
OR
Which measure of central tendency is most suitable in case of data relating to health and intelligence of student. (1)
Q.11 “All statistics are numerical fact’s but all numerical facts are not statistics”. (3)
Q.12 Which of the following methods give better results and why? (3)
(a) Census (b) Sample
OR
Categorise the following variables as discrete variables or continuous variables. Give reasons. (3)
(a) Height of a student (b) Distance covered
(c) Number of students in a class
Q.13 Prepare Arithmetic line graph of the following data on sales and profits of a company X. (4)
Year 2013 2014 2015 2016 2017 2018
Sales (` lakhs) 25 30 40 35 50 55
Profits (` lakhs) 7 10 15 10 20 25
Q.14 In a certain examination there were 100 candidates of whom 21 failed, 6 secured distinction, 12 were placed in
the first division, 18 in the second division and 43 were placed in the third division. It is known that at least 75
percent marks required for distinction, 40 percent for passing, 50 percent for second division and 60 percent for
first division.

Statistics for Economics XI – by Subhash Dey


Convert the above data into frequency distribution with class intervals and calculate the median of the distribution of marks. (4)
OR
The mean monthly salary paid to 77 employees in a company was `7800. The mean monthly salary of 32
of them was `4500 and that of other 25 employees was `8200. What was the mean monthly salary of the
remaining employees? Calculate. (4)
Q.15 The monthly expenditure (`) of a family on some important items and the Goods and Services Tax (GST) rates
applicable to these items is as follows. Calculate the average tax rate as far as this family is concerned. (4)
Item Monthly Expense (`) GST Rate %
Cereals 1500 0
Eggs 250 0
Fish, Meat 250 0
Medicines 50 5
Biogas 50 5
Transport 100 5
Butter 50 12
Babool 10 12
Tomato Ketchup 40 12
Biscuits 75 18
Cakes, Pastries 25 18
Branded Garments 100 18
Vacuum Cleaner, Car 1000 28

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Q.16 Calculate the mean deviation using mean and Standard Deviation for the following distribution. (6)
Classes Frequencies
20–40 3
40–80 6
80–100 20
100–120 12
120–140 9
50
OR
(a) Distinguish between mean deviation and standard deviation. (any two points) (2)
(b) The number of employees, wages per employee and the variance of the wages per employee for two factories
is given below. In which factory is there greater variation in the distribution of wages per employee? (4)
Factory A Factory B
Number of employees 100 150
Average wages per employee per month (`) 3,200 2800
Variance of the wages per employee per month (`) 625 729

Q.17 Consider the following table. Calculate the coefficient of correlation between annual growth of national income
at current price and the Gross Domestic Saving as percentage of GDP. Also, interpret the result. (6)

Year Annual growth of National Income Gross Domestic Saving as percentage of GDP
1992–93 14 24
1993–94 17 23
1994–95 18 26
1995–96 17 27
1996–97 16 25
1997–98 12 25
1998–99 16 23
1999–00 11 25
Preparing for Examinations

2000–01 8 24
2001–02 10 23

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ANSWERS
(through Author’s Pen)

Statistics for Economics XI – by Subhash Dey


Preparing for Examinations

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Statistics for Economics XI – by Subhash Dey
Preparing for Examinations

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Statistics for Economics XI – by Subhash Dey
Preparing for Examinations

380
Sample Question Paper - 1
Section A (1 mark each)
(These are objective type questions/ MCQs required to be answered in one word or one sentence each)
1. Which of the following would give you qualitative data?
beauty, intelligence, income earned, marks in a subject, ability to sing, learning skills
2. State giving reason whether the following statement is True or False:
Telephone survey is the most suitable method of collecting data, when the population is literate and
spread over a large area.
3. The class mark is equal to: (Choose the correct alternative)
(a) The average of the upper class limit and the lower class limit.
(b) The product of upper class limit and the lower class limit.
(c) The ratio of the upper class limit and the lower class limit.
(d) None of the above.
4. Ogives can be helpful in locating graphically the (Choose the correct alternative)
(a) mode (b) mean (c) median (d) None of these
OR
A ‘‘less than’’ ogive is never________. (Choose the correct alternative)
(a) increasing (b) decreasing
(c) constant (d) None of these
5. Madhav is a farmer. He grows food grains in his land in a village called Ghatal in Midnapur district
of West Bengal. The village consists of 50 small farmers. Madhav has 1 acre of land. You are interested

Statistics for Economics XI – by Subhash Dey


to see if the land owned by Madhav is above the size of what half the farmers own. Which of the
following measure of central tendency would you use? (Choose the correct alternative)
(a) Arithmetic Mean (b) Median
(c) Quartile (d) Mode
6. The following data shows marks of a student in a class in four subjects except economics:
40, 50, 55, 58
How many marks did the student score in economics such that the average marks is 56.2?
(Choose the correct alternative)
(a) 78 (b) 56.2 (c) 50.75 (d) 100
7. Q.D. is the average difference of the Quartiles from the median. True/False? Give reason.
8. The mean and standard deviation of normal distribution are 60 and 5 respectively. What is the value
of coefficient of variation? (Choose the correct alternative)
(a) 12% (b) 8.33% (c) 55% (d) 65%
9. The unit of correlation coefficient between height in feet and weight in kgs is_________.
(Choose the correct alternative)
(a) kg/feet (b) percentage
(c) non-existent (d) None of these
10. An index number which accounts for the relative importance of the items is known as ______.
(Choose the correct alternative)
(a) weighted index (b) simple aggregative index
(c)  simple average of relatives (d) None of these

381
Section B (3 marks each) (Answers to these questions should normally not exceed 60 words each)
11. Explain briefly any three functions of Statistics.
OR
Distinguish between ‘Closed-ended’ and ‘Open-ended’ questions with an example of each.
12. Find the arithmetic mean of the following data:
Class 50–59 40–49 30–39 20–29 10–19 0–9
Frequency 1 3 8 10 15 3

Section C (4 marks each) (Answers to these questions should normally not exceed 70 words each)
13. Why do we need an index number? Explain any four uses of index numbers.
OR
An enquiry into the budgets of the middle class families in a certain city gave the following information:
Expenses on items Food 35% Fuel 10% Clothing 20% Rent 15% Miscellaneous 20%
Price (in `) in 2019 1500 250 750 300 400
Price (in `) in 2011 1400 200 500 200 250
What is the cost of living index during the year 2019 as compared with 2011? Calculate. Also,
interpret the result.
14. The number of employees, wages per employee and the variance of the wages per employee for two
factories is given below:
Factory A Factory B
Number of employees 100 150
Average wages per employee per month (`) 3,200 2800
Variance of the wages per employee per month (`) 625 729
In which factory is there greater variation in the distribution of wages per employee? Explain.
15. Calculate the mode from the following data:
Mid value 2.5 7.5 12.5 17.5 22.5 0–9
Frequency 7 18 25 30 20 3

Section D (6 marks each) (Answers to these questions should normally not exceed 100 words each)
Preparing for Examinations

16. Explain the following:


(i) Frequency Distribution (ii) Class Frequency
(iii) Class Limits (iv) Class Interval or Class Width
(v) Class Mark (vi) Frequency Curve
OR
What are the parts of a good statistical table? Explain.
17. Ten competitors in a beauty contest are ranked by 2 judges in the following order:
1st judge 1 6 5 10 3 2 4 9 7 8
2nd judge 3 5 8 4 7 10 2 1 6 9
Use the rank correlation coefficient to determine whether the judges have the nearest approach to
common tastes in beauty.

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Sample Question Paper - 20
Section A (1 mark each)
(These are objective type questions/MCQs required to be answered in one word or one sentence each)
1. Define consumption.
OR
Define production.
2. In Random Sampling: (Choose the correct alternative)
(a) Each element has equal chance of being selected
(b) Each element has unequal chance of being rejected.
(c) Each element has equal chance of being rejected.
(d) Both (a) and (c)
3. Primary data is obtained by: (Choose the correct alternative)
(a) personal interviews (b) mailing questionnaires
(c) telephone interviews (d) All of these
4. In case of ________ ogive, the cumulative total tends to decrease. (less than/more than) (Choose the
correct option)
5. Find the correct option for a asymmetric distribution. (Choose the correct alternative)
(a) Mode = 3 Median – 2 Mean

Statistics for Economics XI – by Subhash Dey


(b) Mode = 2 Median – 3 Mean
(c) Median = 3 Mode – 2 Mean
(d) Mean = 3 Median – 2 Mode
6. Which measure of certral tendency cannot be calculated by graphic method?
(Choose the correct alternative)
(a) Mode (b) Median
(c) Mean (d) None of these
7. Which of the following statements is correct? (Choose the correct alternative)
(a) Two distributions may have identical measures of central tendency and dispersion.
(b) Two distributions may have the identical measures of central tendency but different measures of dispersion.
(c) Two distributions may have the different measures of central tendency but identical measures of dispersion.
(d) All the statements (a), (b) and (c).
8. Variance is the square of ________. (Mean Deviation/Standard deviation) (Choose the correct option)
9. In India, inflation is measured on the basis of Wholesale Price Index (WPI). (True/False)
10. Maximum value of coefficient of correlation is : (Choose the correct alternative)
(a) 0 (b) –1
(c) + 1 (d) ∞

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Section B
(3 marks each)
(Answers to these questions should normally not exceed 60 words each)
11. Distinguish between Census and Sample methods.
OR
Distnguish between exclusive series and inclusive series.
12. Write three demerits of mode.
Section C
(4 marks each)
(Answers to these questions should normally not exceed 70 words each)
13. Calculate mean by step-deviation method from the following data:
X 5-15 15-25 25-35 35-45 45-55 55-65
Y 15 19 13 21 14 10
14.
Calculate mean deviation from median from the following distribution.
X 20-40 40-80 80-100 100-120 120-140
Y 3 6 20 12 9
15. Calculate Spearman’s Rank Correlation Coefficient from the following data:
X 30 25 35 43 27 25 31 33
Y 32 30 26 28 27 31 34 28
OR
The coefficient of rank correlation of the marks obtained by 10 students in economics and accountancy
was found to be 0.2. It was later discovered that the difference in ranks in the two subjects obtained by
one of the students was wrongly taken 9 instead of 7. Find the correct coefficient of rank correlation.

Section D
(6 marks each)
(Answers to these questions should normally not exceed 100 words each)
16. Explain any four functions of statistics.
17. Given the following data, find X if the ratio of Laspeyre’s and Paasche’s price index numbers is 28:27.
Preparing for Examinations

Base Year Current Year


Items
Price Quantity Price Quantity
A 1 10 2 5
B 1 5 X 2
OR
(a) If the money wage of an industrial worker in 2010 per month was `3,250 which was raised to
`5,000 in 2020. Consumer price index for 2010 was 100 and for 2020 was `400. State whether
the worker has really gained or not. Give reasons in support of your answer.
(b) A price index of two items of A and B is being estimated. If two items are assigned weights of
64 and 36 respectively, the price index becomes 279. Similarly, if they are assigned weights of 50
each, the price index turns out to be 265. Determine the individual price index number of items
A and B.

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asd

20 Marks
CBSE Guidelines for Project Work

Statistics for Economics XI – by Subhash Dey


and Sample Project

Objectives
The objectives of the project work are to enable learners to:
 probe deeper into theoretical concepts learnt in class XI
 analyse and evaluate real world economic scenarios using theoretical constructs and arguments
 demonstrate the learning of economic theory
 follow up aspects of economics in which learners have interest
 develop the communication skills to argue logically

Expections
The expectations of the project work are that:
 learners will complete only ONE project during the academic session.
 project should be of 3,500 - 4,000 words (excluding diagrams & graphs), preferably hand-written.
 it will be an independent, self-directed piece of study.

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Statistics for
Economics
XI

Key terms used in Statistics XI

Statistics for Economics XI – by Subhash Dey


Analysis Understanding and explaining an economic problem in terms of the various causes behind it.
Assumed Mean An approximate value in order to simplify calculation.
Attribute A characteristic that is qualitative in nature. It cannot be measured.
Bimodal Distribution A distribution which has two mode values.
Bivariate Distribution Frequency distribution of two variables.
Census Method A method of data collection, which requires that observations are taken on all the individuals in a population.
Chronological Classification Classification based on time.
Class Frequency Number of observations in a class.
Class Interval Difference between the upper and the lower class limits.
Class Mark Class midpoint
Class Midpoint Middle value of a class. It is the representative value of different observations in a class. It is equal to
(upper class limit + lower class limit)/2.
Classification Arranging or organising similar things into groups or classes.
Consumer One who buys goods for one’s own personal needs or for the needs of one’s family or as a gift to someone.
Constant A constant is also a quantity used to describe an attribute, but it will not change during calculation or investigation.
Continuous Variable A quantitative variable that can take any numerical value.
Cyclicity Periodicity in data variation with time period of more than one year.
Decile A partition value that divides the data into ten equal parts.
Discrete Variable A quantitative variable that takes only certain values. It changes from one value to another by finite
“jumps”. The intermediate values between two adjacent values are not taken by the variable.
Economics Study of how people and society choose to employ scarce resources that could have alternative uses in order
to produce various commodities that satisfy their wants and to distribute them for consumption among various persons
and groups in society.
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Employee One who gets paid for a job or for working for another person.
Employer One who pays another person to do or do some work.
Enumerator A person who collects the data.
Exclusive Method A method of classifying observations in which an observation equal to either the upper class limit
or the lower class limit of a class is not put in that class but is put in the class above or below.
Frequency The number of times an observation occurs in raw data. In a frequency distribution it means the number
of observations in a class.
Frequency Array A classification of a discrete variable that shows different values of the variable along with their
corresponding frequencies.
Frequency Curve The graph of a frequency distribution in which class frequencies on Y-axis are plotted against the
values of class marks on X-axis.
Frequency Distribution A classification of a quantitative variable that shows how different values of the variable are
distributed in different classes along with their corresponding class frequencies.
Inclusive Method A method of classifying observations in which an observations equal to the upper class limit of a class
as well as the lower class limit is put in that class.
Informant Individual/unit from whom the desired information is obtained.
Multi Modal Distribution The distribution that has more than two modes.
Observation A unit of raw data.
Percentiles A value which divides the data into hundred equal parts so there are 99 percentiles in the data.
Policy The measure to solve an economic problem.
Population Population means all the individuals/units for whom the information has to be sought.
Qualitative Classification Classification based on quality. For example classification of people according to gender,
marital status etc.
Qualitative Data Information or data expressed in terms of qualities.
Quantitative Data A (often large) set of numbers systematically arranged for conveying specific information on a
subject for better understanding or decision-making.
Questionnaire A list of questions prepared by an investigator on the subject of enquiry. The respondent is required to
answer the questions.
Random Sampling It is a method of sampling in which the representative set of informants is selected in a way that
every individual is given equal chance of being selected as an informant.
Range Difference between the maximum and the minimum values of a variable.
Relative Frequency Frequency of a class as proportion or percentage of total frequency
Sample Survey Method A method, where observations are obtained on a representative set of individuals (the sample),
selected from the population.
Scarcity It means the lack of availability.
Seasonality Periodicity in data variation with time period less than one year.
Seller One who sells goods for profit.
Service Provider One who provides a service to others for a payment.
Spatial Classification Classification based on geographical location.
Statistics The method of collecting, organising, presenting and analysing data to draw meaningful conclusion. Further,
it also means data.
Structured Questionnaire Structured Questionnaire consists of “closed ended” questions, for which alternative possible
answers to choose from are provided.
Tally Marking The counting of observations in a class using tally (/) marks. Tallies are grouped in fives.
Glossary

Time Series Data arranged in chronological order or two variable data where one of the variables is time.
Univariate Distribution The frequency distribution of one variable.
Variable A variable is a quantity used to measure an “attribute” (such as height, weight, number etc.) of some thing or
some persons, which can take different values in different situations.
Weighted Average The average is calculated by providing the different data points with different weights.

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