Professional Documents
Culture Documents
McGraw-Hill/Irwin
Chapter 3
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Chapter 3
Preliminary Assessment
Look at the data and visualize how they were collected
and measured.
Sorting (Example: Price/Earnings Ratios)
Sort the data as a first step and then summarize in a
graphical display. Here are the sorted P/E ratios (values
from Table 3.2).
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For example, the data values in the fourth stem are 31, 37, 37, 38. We always use
equally spaced stems (even if some stems are empty). The stem-and-leaf can reveal
central tendency (24 of the 44 P/E ratios were in the 1019 stem) as well as
dispersion (the range is from 7 to 59). In this illustration, the leaf digits have been
sorted, although this is not necessary. The stem-and-leaf has the advantage that we
can retrieve the raw data by concatenating a stem digit with each of its leaf digits. For
example, the last stem has data values 50 and 59.
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Dot Plots
Note: If more than one data value lies at about the same axis
location, the dots are stacked vertically.
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Comparing Groups
A stacked dot plot compares two or more groups using a common
X-axis scale.
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Histograms
A histogram is a graphical representation of a frequency
distribution.
Y-axis shows frequency within each bin.
A histogram is a bar chart.
X-axis ticks shows end points of each bin.
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Modal Class
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Shape
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Log Scales
Use a log scale for the vertical axis when data vary over a wide
range, say, by more than an order of magnitude.
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Log Scales
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A log scale is useful for time series data that might be expected to grow at a
compound annual percentage rate (e.g., GDP, the national debt, or your
future income). It reveals whether the quantity is growing at an
increasing percent (concave upward),
constant percent (straight line), or
declining percent (concave downward)
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Pareto Charts
Categories are
displayed in
descending order
of frequency.
Focus on
significant few
(i.e., few
categories that
account for most defects or errors).
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Pie Chart
A simple 2-D pie chart is best as shown in Figure 3.19.
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Pie Chart
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The 3-D pie chart adds visual interest, but the sizes of the
pie slices are harder to assess.
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Pie Chart
A simple bar chart can be used to display the same data, and
would be preferred by many statisticians.
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Scatter plots can convey patterns in data pairs that would not be
apparent from a table.
A scatter plot is a starting point for bivariate data analysis in which we
investigate the association and relationship between two variables.
View the next slide for an example.
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Figure 3.23 shows some scatter plot patterns similar to those that you
might observe when you have a sample of (X, Y) data pairs.
A scatter plot can convey patterns in data pars that would not be
apparent from a table.
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3.8 Tables
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The data can be viewed by focusing on the time pattern (down the
columns) or by comparing the variables (across the rows).
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Deceptive
Correct
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Error 3:
Error 6:
Error 7:
Error 9:
Error 10:
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