ICT-ED INSTITUTE OF SCIENCE AND TECHNOLOGY INC.

143 ME C. Harina Street, Poblacion, San Antonio, Quezon

(043) 703-2273 0908-985-7492

COLLEGE DEPARTMENT

Learning Module In

PROBABILITY AND STATISTICS

(S.Y 2021-2022)

Prepared by:

Adrian J. Andal

Checked and Approved by:

Nordyl L. Bianzon Jojie R. De Ramos

Instructional Development Committee

Noted by:

Vina N. Mendoza

Directress for Academic Affairs

 ICT-ED INSTITUTE OF SCIENCE AND TECHNOLOGY INC.
143 ME C. Harina Street, Poblacion, San Antonio, Quezon
(043) 703-2273 0908-985-7492

WEEK 5

MEASURE OF CENTRAL TRENDENCY

Introduction:

Any data set can be characterized by measuring its central tendency.

A measure of central tendency, commonly referred to as the average is a

single value that represents a data set. Its purpose is to locate the center of
the data set.

There are three different measures of central tendency: mean, median and
mode.

Population and Sample Mean

The arithmetic mean or commonly referred to as mean, is the most frequently

used measure of central tendency. The mean is the only common measure in
which all values plays an equal role meaning to determine its values you
would need to consider all the values of any given data set. It is appropriate to
determine for interval and ratio data.

PROPERTIES OF MEAN

1. A set of data has only one mean

2. Mean can be applied for interval and ratio data
3. All values in the data set are included in computing the mean
4. The mean is very useful in comparing two or more data sets.
5. Mean is affected by the extreme small or large values on a data set.
6. The mean cannot be computed for the data in a frequency distribution
with an open ended class.

MEAN FOR UNGROUPED DATA

Mean=
∑ of all values
Number of all values
 ICT-ED INSTITUTE OF SCIENCE AND TECHNOLOGY INC.
143 ME C. Harina Street, Poblacion, San Antonio, Quezon
(043) 703-2273 0908-985-7492

Formula:

Sample Mean:

x=
∑x
n

Where:

x = sample mean (read as ‘x bar’)

x = the value of any particular observations.

∑ x = sum of all x ’s.

n = total number of values in the sample.

Population mean:

μ=
∑x
N

Where:

μ = population mean (it is read as ‘mu’)

N = total number of values in the population.

Example 1

The daily rates of a sample of 8 employees at GMS Inc. are 550, 420, 560,
500, 700, 670, 860, 480. Find the mean daily rate of employees.

Solution:

x=
∑ x = x 1 + x 2+ x 3 +…+ x n
n n

550+ 420+560+500+700+ 670+860+ 480 4740

¿ = =592.50
8 8
 ICT-ED INSTITUTE OF SCIENCE AND TECHNOLOGY INC.
143 ME C. Harina Street, Poblacion, San Antonio, Quezon
(043) 703-2273 0908-985-7492

Interpretation: The sample mean daily salary of employees is Php 592.50

Example 2:

Find the population mean of the ages of 9 middle-management employees of

a certain company. The ages are 53 45 59 48 54 46 51 58 and 55.

Solution:

μ=
∑ x = x1 + x 2+ x3 + …+ x n
N N

53+ 45+59+ 48+54+ 46+51+58+55 469

¿ = =52.11
9 9

Interpretation: The mean population age of middle management employee is

52.11

SAMPLE MEAN FOR GROUPED DATA

Sample Mean:

x=
∑ fx
n

Where:

x = sample mean (read as ‘x bar’)

f = frequency

x = the value of any particular observations.

∑ fx = sum of all the products of f and x ’s.

n = total number of values in the sample.

Population Mean:
 ICT-ED INSTITUTE OF SCIENCE AND TECHNOLOGY INC.
143 ME C. Harina Street, Poblacion, San Antonio, Quezon
(043) 703-2273 0908-985-7492

μ=
∑ fx
N

Where:

μ = sample mean (read as ‘x bar’)

N = total number of values in the population.

Example 3:

Using the example provided before on SJS Travel Agency. Determine the
mean of the frequency distribution on the ages of 50 people taking travel
tours. Given the table.

Class Limits f
18-26 3
27-35 5
36-44 9
45-53 14
54-62 11
63-71 6
72-80 2

Solution:

Step 1: Determine the midpoints of each class limit.

Class Limits f x
18-26 3 22
27-35 5 31
36-44 9 40
45-53 14 49
54-62 11 58
63-71 6 67
72-80 2 76
 ICT-ED INSTITUTE OF SCIENCE AND TECHNOLOGY INC.
143 ME C. Harina Street, Poblacion, San Antonio, Quezon
(043) 703-2273 0908-985-7492

Step 2: Multiply each class frequency with the corresponding midpoint to get
the product fx

Class Limits f x fx
18-26 3 22 66
27-35 5 31 155
36-44 9 40 360
45-53 14 49 686
54-62 11 58 638
63-71 6 67 402
72-80 2 76 152

Step 3: Get the sum of the product fx.

Class Limits f x fx
18-26 3 22 66
27-35 5 31 155
36-44 9 40 360
45-53 14 49 686
54-62 11 58 638
63-71 6 67 402
72-80 2 76 152
Total 50 ∑ fx=2459

Step 4: Apply the formula to obtain the value of the sample mean.

x=
∑ fx = 2459 =49.18
n 50
 ICT-ED INSTITUTE OF SCIENCE AND TECHNOLOGY INC.
143 ME C. Harina Street, Poblacion, San Antonio, Quezon
(043) 703-2273 0908-985-7492

Interpretation: The average age of travel tours in SJS Company is 49.18.

Weighted Mean, Geometric Mean and Combined Mean

WEIGHTED MEAN

The weighted mean is particularly useful when various classes or groups

contribute differently to the total. The weighted mean is found by multiplying
each value by its corresponding weight and dividing by the sum of the
weights.

∑ w i xi w1 x 1 +w 2 x 2 +w 3 x 3+ …+w n x n
x w = i=1n =
w 1+ w2 +w 3+ …+w n
∑ wi
i=1

Where:

x w = weighted mean

w i = corresponding weight

x i = the value of a particular observation.

Example:

At the Mathematics Department of San Sebastian College, there are 18

instructors, 12 assistant professors, 7 associate professors, and 3 professors.
Their monthly salaries are 30500, 33700, 38600, and 45000. What is the
weighted mean salary?

Solution:

∑ w i xi w1 x 1 +w 2 x 2 +w 3 x 3+ w 4 x 4
x w = i=1n =
w 1+ w2 + w3 +w 4
∑ wi
i=1
 ICT-ED INSTITUTE OF SCIENCE AND TECHNOLOGY INC.
143 ME C. Harina Street, Poblacion, San Antonio, Quezon
(043) 703-2273 0908-985-7492
(18 )( 30500 ) + ( 12 ) ( 33700 ) + ( 7 ) ( 38600 ) + ( 3 ) ( 45000 )
¿
18+12+7+3

549000+ 404400+270200+135000
¿
40

1,358,600
¿ =33,965
40

Interpretation: The weighted mean salary is 33,965.

GEOMETRIC MEAN

The geometric mean of a set of n positive numbers is defined as the nth root
of the product of the n numbers. There are two main applications of geometric
mean, the first is to average percents; the second is to establish the average
percent increase in production, sales or other business transaction ort
economic series from one period to another period.

Formula:

GM =√n ( X 1 ) ( X 2 ) ( X 3 ) … ( X n )

GM =
n−1

√ value at the end of the period

value at the beginning of the period
−1

Where:

GM = geometric mean

n = the value of a particular observations or experiments

Example:

Suppose that the profits earned by the MSS Corporation on five projects were
5,6,4,8, and 10 percent. What is the geometric mean profit?

Solution:

GM =√n ( X 1 ) ( X 2 ) ( X 3 ) ( X 4 ) ( X 5)
 ICT-ED INSTITUTE OF SCIENCE AND TECHNOLOGY INC.
143 ME C. Harina Street, Poblacion, San Antonio, Quezon
(043) 703-2273 0908-985-7492
GM =√ (5 )( 6 )( 4 ) ( 8 ) ( 10 )
5

GM =√ 9600=6.26
5

Interpretation: The geometric mean profit is 6.26 percent.

Example 2:

Badminton as a sport grew rapidly in 2008. From January to December 2008,

the number of badminton Clubs in metro Manila increased from 20 to 155.
Compute the mean monthly percent increase in the number of badminton
clubs.

Solution:

GM =
n−1

√ value at the end of the period

value at the beginning of the period
−1

GM =
12−1

√ 155
20
−1

GM = √ 7.75−1=0.2046
11

Interpretation: badminton Clubs are increasing at a rate of 20.46% per month.

COMBINED MEAN

The combined mean is the grand mean of all the values in all groups when
two or more groups are combined.

Formula:

∑ Ni Xi N 1 X 1+ N 2 X 2 + N 3 X 3 +…+ N n X n
x CM = i=1n =
N 1+ N 2 + N 3 +…+ N n
∑ Ni
i=1
 ICT-ED INSTITUTE OF SCIENCE AND TECHNOLOGY INC.
143 ME C. Harina Street, Poblacion, San Antonio, Quezon
(043) 703-2273 0908-985-7492
Where:

x CM = combined mean

X i = sample means

N i = sample size.

Example:

A study comparing the typical household incomes for three districts in the City
of Manila was initiated to see where differences in household incomes lie
across the districts. The mean household incomes for a sample of 45 different
families in three districts of manila are shown in the following table. Calculate
the combined mean.

District 1 District 2 District 3

X 1 =30400 X 2 =27300 X 3 =42500
N 1=12 N 2=18 N 3=15

Solution:

∑ Ni Xi N 1 X 1+ N 2 X 2 + N 3 X 3 +…+ N n X n
x CM = i=1n =
N 1+ N 2 + N 3 +…+ N n
∑ Ni
i=1

30400 ( 12 ) +27300 ( 18 ) +42500 ( 15 )

¿
12+18+15

1,493,700
¿ =33,193.33
45
 ICT-ED INSTITUTE OF SCIENCE AND TECHNOLOGY INC.
143 ME C. Harina Street, Poblacion, San Antonio, Quezon
(043) 703-2273 0908-985-7492
Interpretation: The combined mean household income in three districts of
Manila is Php 33,193.33