Therefore model class 40 60 mode is calculated by the

Info iconThis preview shows page 1. Sign up to view the full content.

View Full Document Right Arrow Icon
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: alculated by the formula Mode = L1 + (f1 – f0) / (2f1-f0-f2) X C L1 = Lower limit of the model class = 40 f1 = frequency of the model class = 27 f0 = frequency of the class preceding the model class = 15 f2 = frequency of the class succeeding the model class = 13 C = class interval 20 Mode = 40 + (27 – 15) / (2 X 27 –15-13) X 20 = 40 + (12/ 54-28) 20 = 40 + (12/ 26) 20 = 40 + (.4615) 20 = 40 + 9.23 = 49.23 Sikkim Manipal University = Page No. 185 Research Methodology Unit 11 Dispersion Dispersion is the tendency of the individual values in a distribution to spread away from the average. Many economic variables like income, wage etc., are widely varied from the mean. Dispersion is a statistical measure, which understands the degree of variation of items from the average. Objectives of Measuring Dispersion Study of dispersion is needed to: 1. To test the reliability of the average 2. To control variability of the data 3. To enable comparison with two or more distribution with regard to their variability 4. To facilitate the use of other statistical measures. Measures of dispersion points out as to how far the average value is representative of the individual items. If the dispersion value is small, the average tends to closely represent the individual values and it is reliable. When dispersion is large, the average is not a typical representative value. Measures of dispersion are useful to control the cause of variation. In industrial production, efficient operation requires control of quality variation. Measures of variation enable comparison of two or more series with regard to their variability. A high degree of variation would mean little consistency and low degree of variation would mean high consistency. Properties of a Good Measure of Dispersion A good measure of dispersion should be simple to understand. 1. It should be easy to calculate 2. It should be rigidly defined 3. It should be based on all the values of a distribution 4. It should be amenable to further stati...
View Full Document

{[ snackBarMessage ]}

Ask a homework question - tutors are online