Measures of Spread or Dispersion

(Mean, Variance, and Standard Deviation)

Topic Contents

2.1 Introduction

2.2. Mean Absolute Deviation (MAD)

2.3. Variance

2.4. Standard Deviation

2.5. Mean Variance, and Standard Deviation Combined

Self-Test 2.1

Self-Test 2.2

Self-Test 2.3

Learning Outcomes

1 Manifest knowledge and skills on the principles and concepts of measures of spread.

2 Solve problems involving mean absolute deviation, variance, and standard deviation.

Overview

This chapter discusses on the measures of spread or dispersion which include the mean absolute
deviation, variance, and standard deviation. The meaning of mean absolute deviation, variance, and
standard deviation are also discussed in this chapter. Example problems in this chapter are discussed in
step-by-step manner. In addition, this chapter provides solution with the aid of computer, i.e., Microsoft
excel.

At the end of this chapter, provides self-test in order to assess the reader and students.
Introduction

Measures of central tendency describe location along an ordered scale. There are characteristics
that call for additional types of statistical analysis. There are instances that the results of mean and
median of two different groups with different respondents are identical. Table 2.1 shows the scores of
two groups of students in Physics. As shown in the table scores of the respondents in group 1 is different
from the scores of the group 2 respondents however the computed mean and median of group 1 and
group 2 is the same, i.e., 80.

Table 2.1

Score of Two Groups of Students in Physics

Group 1 Group 2
Students Score Grade Students Score Grade
John 99 A Erica 84 C+
Francis 90 B Jherriemae 83 C+
Clarisse 80 C+ Marites 80 C+
Anne 75 C+ Angie 77 C
Aida 56 F Lalaine 76 C
∑ x , = 400, nn = 5 ∑ x , = 400, nn = 5
∑ x 400
∑ x 400 x= = =80
x= = =80 n 5
n 5
Md = 80 Md = 80

Apparently, the performance result in table 2.1 does not fully describe the difference in
achievement between two groups. To contrast their performance, it is necessary to use a measure of
score spread or dispersion. The measures of central tendency and dispersion taken together give a
better picture of a data set than the measures of central tendency alone.

2.2. Mean Absolute Deviation (MAD)

The mean absolute deviation (MAD) considers the variation of the individual scores in a
distribution. The mean absolute deviation can be determined using equation 2.1. As shown in equation
2.1, the mean absolute deviation is equal to the summation of the absolute value of the difference
between each score and the mean divided by the number of scores.

∑|x − x|
MAD=
n

Where: n = number of scores,

 MAD = Mean Absolute Deviation
x = mean score
x = score
Sample Problem 2.1

A team of sales representatives from a leading car dealer in the Philippines was audited by their
managers. The gross sales made by the three sales representatives from a team during the first four
months of 2013 was revealed and tabulated as shown below.

Determine the mean absolute deviation of each sales representative.

The Gross Sales (in Millions) Made by Three Sales Representatives

Sales Representative Jan Feb Mar Apr Mean

Aileen 7 6 10 8 7.8
Marites 5 8 6 10 7.3
Angelita 10 5 9 8 8

Solution:

Absolute Deviation (MAD)-Aileen

Step 1: Construct a data table with three columns titled Sales of Aileen, x − x x − x , and |x − x||x − x|
for Aileen,

Sales of Aileen x− x |x − x|
7 7 - 7.8 0.8
6 6 - 7.8 1.8
10 10 - 7.8 2.2
8 8 - 7.8 0.2

∑|x − x|=5.0
n=4

Step 2: Determine the mean absolute deviation for Aileen sales using equation 2.1

∑|x − x|
MAD=
n
5.0
MAD= =1.25
4
Mean Absolute Deviation (MAD)-Marites
Step 1: Construct a data table with three columns titled Sales of Martes, x − x x − x , and |x − x||x − x|
for Aileen,

Sales of Marites x− x |x − x|
5 5 - 7.3 2.3
8 8 - 7.3 0.7
6 6 - 7.3 1.3
10 10 - 7.3 2.7

∑|x − x|=7.0
n=4

Step 2: Determine the mean absolute deviation for Marites sales using equation 2.1

∑|x − x|
MAD=
n
7.0
MAD= =1.75
4
Mean Absolute Deviation (MAD)-Angelita

Step 1: Construct a data table with three columns titled Sales of Angelita, x − x x − x , and |x − x||x − x|
for Aileen,

Sales of Angelita x− x |x − x|
10 10 – 8.0 2.0
5 5 – 8.0 3.0
9 9 – 8.0 1.0
8 8 – 8.0 0

∑|x − x|=6.0
n=4

Step 2: Determine the mean absolute deviation for Angelita sales using equation 2.1

∑|x − x|
MAD=
n
6.0
MAD= =1.50
4

2.3. Variance
 The variance is a measure of variability that considers the position of each observations relative
to the mean of the set of scores. It is a statistical measure of the spread or variation a group of numbers
in a sample, equal to the square of the standard deviation. The variance (s 2) for ungrouped data can be
computed using equation 2.2. On the other hand, the variation for grouped data can be determined
using equation 2.3.

Equation 2.2

2
∑( x− x)
S2 =
n− 1

Where: s2 = variance

x = mean

x = individual score

n = number of respondents

Equation 2.3

( )
2 2
z ∑f x ∑ fx
s= −
N N

Where: s2 = variance

f = frequency

x = score

N = number of respondents

2.4. Standard Deviation

The standard deviation is a measurement that will give us a better idea of how the data entries
differ from the mean. It is a statistical measure of the amount by which a set of values differs from the
arithmetic mean, equal to the square root of the mean of the differences squares. The standard
deviation for ungrouped data can be computed using equation 2.3a and b while equation 2.4 shows the
formula for the calculation of standard deviation for grouped data.

Equation 2.3 a
s=
√ Σ(x − x)2
n −1

Equation 2.3 b

s= √ s2

Where: s = standard deviation

2
s = variance

x = mean

x = individual score

n = number of respondents

Equation 2.4

√ ( )
Σf x 2 Σfx 2
s= −
N N

Where: s = standard deviation

f = frequency

x = score

n = number of respondents

Example Problem 2.2

A biology class was conducting an investigation on the effect of the fertilizer made on the
growth on monggo seedlings. A random sample of those seedlings yielded the following heights in
centimeters:

2, 3, 4, 5, 6, 8, 10, and 10

Find the (a.) mean, (b.) variance, and (c.) standard deviation

Solution: (a)

∑ x 2+3+ 4+5+ 6+8+10+ 10 48

x= = = =6
n 8 8
Step 1: Construct a data table with three columns titled x , x − x , and ( x − x )2.

x x− x ( x − x )2 x − x ¿ ¿ 2
2 2 - 6 = -4 16
3 3 - 6 = -3 9
4 4 - 6 = -2 4
5 5 - 6 = -1 1
6 6-6=0 0
8 8-6=2 4
10 10 - 6 = 4 16
10 10 - 6 = 4 16

2
∑ xΣx=48 n = 48 ∑ ( x − x ) =66

Step 2: Determine the variance using equation 2.2,

Thus, the variance is 9.43
(b) Determine the standard deviation using equation 2.3 b,
Thus, the standard deviation is 3.07.
WITH THE AID OF A COMPUTER
Step 1: Open an Excel spreadsheet by clicking on the Excel icon for the under Start, Programs,
Microsoft Office/Microsoft Excel 2010).
Step 2: Double-click on the specific cell to activate it. Enter as follows.
a cell is entered by pressing the enter key).
Cell A1: Sample
Cell A2: 1
Cell A3: 2
Cell A4: 3
Cell A5: 4
Cell A6: 5
Cell A7: 6
Cell A8: 7
Cell A9: 8
Cell B1: Height (cm)
Cell B2: 2
Cell B3: 3
Cell B4: 4
Cell B5: 5
Cell B6: 6
Cell B7: 8
Cell B8: 10
Cell B9: 10
Step 3: Click on the Data table tool bar. Select the Data Analysis icon.
Step 4: Click Descriptive and OK.
Step 5: Type in the INPUT RANGE:SBS2:SBS9
Step 6: Type in the OUTPUT OPTIONS, i.e., Output Range:SDS2:SFS2
Step 7: The computer displays as follows:

Column 1

Mean 6

Standard Error 1.08562

Median 5.5

Mode 10

Standard Deviation 3.070598

Sample Vairance 9.428571

Application/Activity
Compute the (a.) mean and (b.) standard deviation of the ages of the Special Education
teacher - respondents in a certain region as presented in the table below.
Ages of the Special Education Teacher Respondents

Age Number of Teachers

(Yrs) (Frequency)
53 - 57 10
48 - 52 17
43 - 47 20
38 - 42 25
33 - 37 39
28 - 32 25
23 - 27 15