Data_Understanding_II--Histograms

Change the gap width to 0 if your data is continuous

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Unformatted text preview: he More bin. On bin ranges and reading the table of cumulative percentages: When Excel creates a histogram, it uses the values in the bin range as the ceilings/upper bounds for each bin. If the first value in your bin range is 13, for example, your first histogram bar will represent data values up to and including 13. (<=13) An easy way to remember this is that the More bin will contain any observances greater than the last bin range value. (We prefer that you set up your bin ranges such that you don't have a More bin.) *Have between 8 and 13 bins - YOU DECIDE On bin width (from NetMBA.com): The shape of the histogram sometimes is particularly sensitive to the number of bins. If the bins are too wide, important information might get omitted. For example, the data may be bimodal but this characteristic may not be evident if the bins are too wide. On the other hand, if the bins are too narrow, what may appear to be meaningful information really may be due to random variations that show up because of the small number of data points in a bin. To determine whether the bin width is set to an appropriate size, different bin widths should be used and the results compared to determine the sensitivity of the histogram shape with respect to bin size. Bin widths typically are selected so that there are between 5 and 20 groups of data, but the appropriate number depends on the situation. 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