Learning Objectives

LO4-1 Construct and interpret a dot plot

LO4-2 Construct and describe a stem-and-leaf display
LO4-3 Identify and compute measures of position
LO4-4 Construct and analyze a box plot
LO4-5 Compute and interpret the coefficient of skewness
LO4-6 Create and interpret a scatter diagram
Describing Data: Displaying and LO4-7 Develop and explain a contingency table
Exploring Data
Chapter 4

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Dot Plots Example Dot Plots Example

 Use dot plots to compare the two data sets like these of  Minitab provides dot plots and summary statistics
the number of vehicles serviced last month for two
different dealerships

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Stem-and-Leaf Displays Stem-and-Leaf Display Example
 An alternative to a frequency distribution and histogram
 The advantages of the stem-and-leaf display
 The identity of the each observation is not lost
New Table 4-1on page 98 goes here along with
 The digits themselves give a picture of the distribution the final table at the top of page 99.
 The cumulative frequencies are also shown

STEM-AND-LEAF DISPLAY A statistical technique to present a set of

data. Each numerical value is divided into two parts. The leading digit
becomes the stem and the trailing digit the leaf. The stems are located
along the vertical axis, and the leaf values are stacked against each other
along the horizontal axis.

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Measures of Position Measures of Position Example

 Measures of location also describes the shape of the  Morgan Stanley is an investment company with offices
distribution and can be expressed as percentiles located throughout the United States. Listed below are
the commissions earned last month by a sample of 15
brokers.
 Quartiles divide a set of observations into four equal $2,038 $1,758 $1,721 $1,637 $2,097 $2,047 $2,205 $1,787 $2,287
parts 1,940 2,311 2,054 2,406 1,471 1,460

 The interquartile range is the difference between the

third quartile and the first quartile  First, sort the data from smallest to largest
 Deciles divide a set of observations into 10 equal parts
$1,460 $1,471 $1,637 $1,721 $1,758 $1,787 $1,940 $2,038
 Percentiles divide a set of observations into 100 equal 2,047 2,054 2,097 2,205 2,287 2,311 2,406
parts
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Measures of Position Example Box Plots
 Next, find the median  A box plot is a graphical display using quartiles
 L50 = (15+1)*50/100 = 8  A box plot is based on five statistics:
 So the median is $2,038, the value at position 8  Minimum value
 1st quartile
25 75
L25  (15 1) 4 L75  (15 1)  12  Median
100 100
Therefore, the first and third quartiles are located at the 4th and 12th  3rd quartile
positions, respectively: L25  $1, 721; L75  $2, 205
 Maximum value
 The interquartile range is Q3 – Q1
$1,460 $1,471 $1,637 $1,721 $1,758 $1,787 $1,940 $2,038  Outliers are values that are inconsistent with the rest of
2,047 2,054 2,097 2,205 2,287 2,311 2,406 the data and are identified with asterisks in box plots

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Box Plot Example Box Plot Example Continued

 Alexander’s Pizza offers free delivery of its pizza within  Begin by drawing a number line using an appropriate scale
15 miles. How long does a typical delivery take? Within  Next, draw a box that begins at Q1 (15 minutes) and
what range will most deliveries be completed? ends at Q3 (22 minutes)
 Using a sample of 20 deliveries, Alexander determined the  Draw a vertical line at the median (18 minutes)
following:  Extend a horizontal line out from Q3 to the maximum
 Minimum value = 13 minutes value (30 minutes) and out from Q1 to the minimum
 Q1 = 15 minutes value (13 minutes)
 Median = 18 minutes
 Q3 = 22 minutes
 Maximum value = 30 minutes
 Develop a box plot for delivery times
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Common Shapes of Data Skewness
 The coefficient of skewness is a measure of the symmetry
of a distribution
 Two formulas for coefficient of skewness

 The coefficient of skewness can range from -3 to +3

 A value near -3 indicates considerable negative skewness
 A value of 1.63 indicates moderate positive skewness
 A value of 0 means the distribution is symmetrical

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Skewness Example Skewness Example

 Following are the earnings per share for a sample of Step 1 : Compute the Mean

15 software companies for the year 2016. The X 

X 
$ 74 .26
 $ 4 .95
n 15
earnings per share are arranged from smallest to
largest. Step 2 : Compute the Standard Deviation

s

 XX 
2


($ 0 .09  $ 4 .95 ) 2  ...  ($ 16 .40  $ 4 .95 ) 2 )
 $ 5 .22
n 1 15  1

Step 3 : Find the Median

The middle value in the set of data, arranged from smallest to largest is 3.18
 Begin by finding the mean, median, and standard
deviation. Find the coefficient of skewness. Step 4 : Compute the Skewness
3( X  Median ) 3($ 4 .95  $ 3 .18 )
sk    1 .017
s $ 5 .22
 What do you conclude about the shape of the
distribution?  What do you conclude about the shape of the
distribution?
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Describing the Relationship Between Two
Variables Scatter Diagrams
 A scatter diagram is a graphical tool to portray the
relationship between two variables or bivariate data
 Both variables are measured with interval or ratio level
scale
 If the scatter of points moves from the lower left to the
upper right, the variables under consideration are directly
or positively related
 If the scatter of points moves from the upper left to the
lower right, the variables are inversely or negatively
related

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Contingency Tables Contingency Table Example

 A contingency table is used to classify nominal scale  Applewood Auto Group’s profit comparison
observations according to two characteristics

CONTINGENCY TABLE A table used to classify observations

according to two identifiable characteristics.

 It is a cross-tabulation that simultaneously summarizes

two variables of interest  90 of the 180 cars sold had a profit above the median and
 Both variables need only be nominal or ordinal half below. This meets the definition of median.
 The percentage of profits above the median are Kane
48%, Olean 50%, Sheffield 42% , and Tionesta 60%.

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