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picture1_Business Statistics Ppt 69542 | Sbe10ch03b


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File: Business Statistics Ppt 69542 | Sbe10ch03b
measures of distribution shape relative location and detecting outliers distribution shape chebyshev s theorem empirical rule detecting outliers is 310 business statistics 2 2 slide slide distribution shape in order ...

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          Measures of Distribution Shape,
      Relative Location, and Detecting Outliers
      Distribution Shape
      Chebyshev’s Theorem
      Empirical Rule
      Detecting Outliers
                                                       
                                                       
   IS 310 – Business Statistics                  2 
                                                 2 
                                              Slide
                                              Slide
                Distribution Shape
      In order to understand the shape of a 
       distribution, we will refer to Histogram 
       discussed in Chapter 2.
      By looking at the Histogram, we will determine 
       the shape of the distribution.  
      The shape of a distribution is measured with a 
       quantity called Skewness.
                                                     
                                                     
   IS 310 – Business Statistics                 3 
                                                3 
                                            Slide
                                            Slide
           Distribution Shape:  Skewness
      An important measure of the shape of a 
       distribution is called skewness.
      The formula for computing skewness for a data 
       set is somewhat complex.
      Skewness can be easily computed using 
       statistical software.
                                                     
                                                     
   IS 310 – Business Statistics                 4 
                                                4 
                                            Slide
                                            Slide
           Distribution Shape:  Skewness
      Symmetric (not skewed)
       • Skewness is zero.
       • Mean and median are equal.
             .35      Skewness = 
            y.35         0 
            cy
            c.30
            nn.30
            ee.25
            uu.25
            qq
            ee.20
            rr.20
            FF
              .15
            ee.15
            vv
            ii
            tt.10
            aa.10
            ll
            ee.05
            RR.05
              0
              0
                                                     
                                                     
   IS 310 – Business Statistics                 5 
                                                5 
                                            Slide
                                            Slide
           Distribution Shape:  Skewness
      Moderately Skewed Left
       • Skewness is negative.
       • Mean will usually be less than the median.
             .35   Skewness  =  - .31  
            y.35
            cy
            c.30
            nn.30
            ee.25
            uu.25
            qq
            ee.20
            rr.20
            FF
              .15
            ee.15
            vv
            ii
            tt.10
            aa.10
            ll
            ee.05
            RR.05
              0
              0
                                                     
                                                     
   IS 310 – Business Statistics                 6 
                                                6 
                                            Slide
                                            Slide
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