Module I:

Business Statistics -
Basic Concepts and Terms

Mathematics and Physics Department

Learning Outcomes

 At the end of the module, the student should be able to

 comprehend the important terms used in statistics
 differentiate descriptive and inferential statistics
 know the different applications of statistics
 distinguish the different kinds of variables
 classify data as nominal, ordinal, interval and ratio
 present data in different forms
 distinguish primary and secondary data
Florence Nightingale on Statistics
Definition of Statistics
Applications of Statistics

 1- Number of COVID Patients in the World

Applications of Statistics
 2-Disease Modelling for COVID-19
 (Estimating the number of Filipinos infected of COVID-19)
Applications of Statistics

 3- A Study of the Philippine Inflation Rate:

Two Areas of Statistics
Descriptive Statistics
Inferential Statistics
Inferential Statistics
Descriptive or Inferential Statistics:
Descriptive or Inferential Statistics:
Descriptive or Inferential Statistics:
Population vs Sample
Population vs Sample
Parameter vs Statistic

Parameter − any numerical measure or value that

describes a characteristic or an aspect of a
population.

Statistic − any numerical measure or value that

describes a characteristic or an aspect of a
sample.
Census vs Survey
Census − a process of collecting information from the population. It
also refers to an official count by a national government of the
country’s population.

 Governments use census information for public policies such as fund

allocations for schools and road constructions.

Survey − a process of collecting information from a sample.

Generally conducted when the population is too large and getting
information from the whole population is costly and time-consuming
task.
Types of Variables

 Variable − any
characteristic or
information
measurable or
observable in every
element of the
population or
sample.
Qualitative vs Quantitative
Qualitative (Categorical)
− a variable that indicates what kind of a
characteristic an individual, object, or event
possesses.

Examples
color of cars, juice, favorite basketball team, economic
status, student number
Qualitative vs Quantitative
Quantitative variable − a variable that
indicates how much or how many of a
characteristic an individual, object, or event
possesses.

Examples
volume, temperature, student grade, score in a quiz,
height
 Discrete vs Continuous
Discrete variable − a quantitative variable
that can assume only countable number of
distinct values such as 0, 1, 2, 3, …

Examples
Number of students in a class, age as used in insurance,
point-grade
Discrete vs Continuous
Continuous variable − a variable that can
assume infinitely many values corresponding
to the points on a line interval.

Examples
weight, area, time, temperature
Qualitative, Discrete or Continuous:
 1. Number of COVID-19 Patients in Metro Manila
 2. Price Value of a PPE (Personal Protective Equipment)
 3. Hotline Number of Department of Health
 4. Number of Kilowatt Consumption in May 2020
 5. Number of Hearings for the Franchise of ABS CBN
 6. ECQ, MECQ, GCQ
 7. House Bill 6732
 8. Social Amelioration Package
 9. 152 Filipino Doctors and Nurses Inflicted by COVID-19
 10. 7:30am on line Mass by Manila Cathedral
Nominal Level
Ordinal Level
Interval Level
Ratio Level
Nominal, Ordinal, Interval or Ratio:
 1. Ayala Malls: Circuit, Feliz, Glorietta, Vertis North
 2. Latin Honors: Cum Laude, Magna Cum Laude, Summa Cum Laude
 3. Money
 4. House Rent
 5. ECQ, MECQ, GCQ
 6. 1st World, 2nd World, 3rd World Countries
 7. Religion Affiliation
 8. Final Grade in Managerial Statistics
 9. Number of Absences in the On line Class
 10. P5000 MakaTulong Program for Makatizens
Test Grid
Test Grid
Data Collection
Primary vs Secondary
Kind of Primary Data-
Statistical Methods
Kinds of Primary Data
Kinds of Primary Data
Kinds of Primary Data
Primary or Secondary Data:
 1. Experiments
 2. Case Studies
 3. Diaries
 4. Eyewitness accounts
 5. Biography
 6. Autobiography
 7. Government reports
 8. Field Observations
 9. Letters
 10. Mass media products
Presentation of Data

 This refers to the organization of data into tables, graphs or charts,

paragraph form so that logical and statistical conclusion can be
derived from the collected measurements

 Data may be presented in

 1- Tabular
 2 – Textual
 3 - Graphical
Tabular Form
Graphical Form
Textual Form