/*! This file is auto-generated */ .wp-block-button__link{color:#fff;background-color:#32373c;border-radius:9999px;box-shadow:none;text-decoration:none;padding:calc(.667em + 2px) calc(1.333em + 2px);font-size:1.125em}.wp-block-file__button{background:#32373c;color:#fff;text-decoration:none} Problem 40 Name two measures of the variati... [FREE SOLUTION] | 91Ó°ÊÓ

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Name two measures of the variation of a distribution, and state the conditions under which each measure is preferred for measuring the variability of a single data set.

Short Answer

Expert verified
Variance and Standard Deviation are two measures of the variation of a distribution. Variance is preferred when the data set is large and the individual differences aren't necessarily significant while Standard Deviation is preferred when we want a clear and simple representation of the variability in our data set.

Step by step solution

01

Define Variance

Variance is a measure of how spread out the numbers in a data set are. It is calculated as the average of the squared differences from the mean. The formula for variance is \[ \sigma^2 = \frac{\sum (x - \mu)^2}{N} \], where \(x\) is each value in the data set, \(\mu\) is the mean of the data set, and \(N\) is the number of data points. Variance is best used when we want to understand the variability from the average or mean in our data set.
02

Define Standard Deviation

Standard deviation is the measure of the dispersion of a set of data from its mean. It is calculated as the square root of the variance. The formula for standard deviation is \[ \sigma = \sqrt{\frac{\sum (x - \mu)^2}{N}} \]. Standard deviation is preferred when we need to ascertain the variability of the data, but with a unit of measurement similar to the original data units, making it easier to interpret compared to variance.
03

Summarize the application of each measure

Variance and standard deviation are both measures of variability in a data set. Variance is usually used when the data set is large and the individual differences aren't necessarily significant. On the other hand, the standard deviation is more commonly used because it is expressed in the original unit of measure, making it easier to interpret. Therefore, it is best used when we want a clear and simple representation of the variability in our data set.

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