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Chapter : 4 MEASURES OF DISPERSION

We have seen how to get an average for a given distribution. The average represents a given
distribution but when we want to study the given distribution, knowing only the average value is
not enough. For instance, though it is useful to have an average of wages of workers in a factory,
this value may not be sufficient to indicate the wage conditions in the factory. We should also
know the differences in individual wages. Average does not give the idea about the spread or
scatter of the data.
The same average may be found in two distributions yet they may differ widely in the scatter of
their values. In the following examples we have three series. The arithmetic mean and median
are the same for all the three.
A !
"#
"#
"#
"#
"#
$#
$$
"#
"$
%#
#
&#
"#
'#
()#
*ere se can see that though the averages are the same, the three series are widely different from
each other. If we consider only the average, conclusion will be misleading as the same number
will represent the three series.
The first series A has all e+ual observations. There is no variability. The observations in the
series differ by $, while the difference between two consecutive observations in series ! is &#.
It is clear that the variability or scatter in series ! is more than that in series . In order to
estimate to what extent the data vary from the average and to measure the spread or scatter of the
data we compute measures of dispersion so that by referring to a single number we can find
whether a distribution is compact or spread out.
,ispersion is an important characteristic and must be measured for the information it gives
about the data. Two students may have the same average of marks. ut one may be having
marks near the average in all the sub-ects while the other may be having low marks in some
sub-ects and very high marks in others. A manufacturer wants to control the +uality of his
product. *e is interested in providing articles with uniform +uality and therefore wants to
prevent variability. For him uniformly high +uality is better than high average. A manufacturer
who produces electric bulbs will be happier with an average life of ("## hours for his bulbs with
uniform +uality than an average life of (%## hours with some bulbs lasting for less than (###
hours and some for more than )### hours.
For measuring dispersion we have various measures and each of them has different
characteristics. As in the case of averages, measures of dispersion also should have some
+ualities so that they give proper idea about the scatter of the data. The following are the
characteristics of a good measure of dispersion.
1. It should be rigidly defined.
2. It should be based on all the observations.
3. It should be easy to calculate and understand.
4. It should be capable of further algebraic treatment.
5. It should not be affected much by sampling fluctuations.
.easures of ,ispersion
Absolute Measures Relative Measures
(. /ange (. !oefficient of /ange
). 0uartile ,eviation ). !oefficient of 0uartile
,eviation
&. .ean ,eviation &. !oefficient of .ean
,eviation
1. 2tandard ,eviation 1. !oefficient of 3ariation
Range
An elementary measure of dispersion is range. It is the easiest of all measures of dispersion. It is
defined as the difference between the highest and the lowest values taken by the variable.
i.e. /ange 4 .aximum value 5 .inimum value
The corresponding relative measure is given by


+
.aximum 3alue .inimum 3alue
!oefficient of /ange
.aximum 3alue .inimum 3alue

=
.
6xample7 !alculate the range for the following data giving the daily sales of a shop for a week.
2ales in /s.7 ("#, (&#, ()$, ()%, (1&, ($#, ($$
*ere the lowest value is /s.()$ and the highest value is /s.("#.

/ange 4 ("# 5 ()$ 4 &$.


160 125 35
0.12
160 125 285
!oefficient of /ange

= = =
+
/ange indicates nothing concerning the usual spread of the items. Therefore it is most useful
when it is known that the extreme items are not exceptional in nature. 2tock prices and interest
rates are often stated in terms of their range. /ange is used in statistical +uality control to study
the variation in +uality of manufactured units. 2aving in computation time is an important factor
in favour of range. *owever range is not suitable for precise studies. It is only a rough measure
of dispersion.
QUARI!E DE"IAION
/ange is affected by extreme values. To avoid this we consider the range of the middle $# per
cent of the observations. i.e., 0& 5 0(. This is called inter +uartile range. 0uartile deviation is
the mid point of the range between the two +uartiles.
0uartile deviation is define as
3 1
.
2
0 0
0 ,

=
where 0( and 0& are the first and the third
+uartiles respectively.
3 1
3 1

0 0
!oefficient of 0uartile ,eviation
0 0

=
+
8/9:6.27
(. !alculate the +uartile deviation for the following data giving the age distribution of ($##
women. Also find the coefficient of 0.,.
Age in years7 (";)# )#;)1 )1;)< )<;&) &);&" &";1#
=o. of women7 )## )$# 1## &## )$# (##
> Answer7 1.11 years and #.(" ?
6. !alculate the +uartile deviation for the following data.
2ales @A## /s.B (##;((# ((#;()# ()#;(&# (&#;(1# (1#;($# ($#;("#
=o. of 2hops7 1 % )# ' " 1
> Answer7 <.)1 ?
&. !alculate +uartile deviation for the following distribution of ages of <## persons. Also
find the coefficient of +uartile deviation.
Age in years7 )#;)$ )$;&# &#;&$ &$;1# 1#;1$ 1$;$# $#;$$ $$;"#
=o. of persons7 $# %# (## (<# ($# ()# %# "#
> Answer7 ".$1 and #.("(& ?
1. Find the +uartile deviation and the coefficient of 0.,.
!.I. ($##;(%## (%##;('## ('##;)(## )(##;)&## )&##;)$## )$##;)%##
Fre+.7 %# (## ()# ($# (## "#
> Answer7 )&# and #.(( ?
$. Find the +uartile deviation and the coefficient of 0.,.
Age @less thanB7 (# )# &# 1# $# "# %# <#
=o. of persons7 ($ &# $& %$ (## ((# (($ ()$
> Answer7 (&.1%<& and #.&'") ?
". Find the +uartile deviation and the coefficient of 0.,.
,aily wages in /s.7 #;(# (#;)# )#;&# &#;1# 1#;$# $#;"# "#;%# %#;<#
=o. of persons7 (# (% )" &# && )$ () '
> Answer7 (&.$#&' and #.&1<' ?
%. Find the +uartile deviation and the coefficient of 0.,.
.arks7 $;(# (#;($ ($;)# )#;)$ )$;&# &#;&$ &$;1#
Fre+uency7 " < (% )( ($ (( )
> Answer7 $.1$( and #.)1$1 ?
<. Find the following data calculate the three +uartiles and the +uartile deviation and its
coefficient.
Age in years7@:ess thanB (# )# &# 1# $# "# %# <#
=o. of persons7 (1 &" "1 '' ()& (&' (1' ($%
> Answer7 (&.&)$ and #.&<"1 ?
MEAN DE"IAION
The previous two measures of dispersion viC., /ange and 0uartile deviation do not take into
account, the deviations from the central value. The mean deviation considers these differences in
absolute values and averages these differences. .ean deviation takes into account all the
observations and therefore is superior to these two measures. *ere deviations from mean are
calculated considering their absolute values, and are averaged. Although any average can be
used theoretically, median is the best to use because mean deviation from the median is less than
that from any other value.
.ean ,eviation is calculated as follows7
/aw ,ata /aw ,ata Fre+uency ,istribution Fre+uency ,istribution
( )
( )
( )
.
.
.
i
x
i
.edian
i
.ode
x x
. ,
n
x .edian
. ,
n
x .ode
. ,
n

( )
( )
( )
.
.
.
i i
x
i
i i
.edian
i
i i
.ode
i
f x x
. ,
f
f x .edian
. ,
f
f x .ode
. ,
f

!oefficient of .ean ,eviation 4


( ) . . ,
M
M
where
M
is mean, median or mode.
Problems#
$% !alculate mean deviation from median and the coefficient of .., for the following
distribution of ages of $## persons.
Age in years7 )# 5 )$ )$ 5 &# &# 5 &$ &$ 5 1# 1# 5 1$ 1$ 5 $#
=o. of persons7 %# <# (<# (## $# )#
> Answer7 1.<<'" and #.(1') ?
). Find the mean deviation from mode and the corresponding coefficient of mean deviation
for the following data.
Income in /s.7 <##;(### (###;()## ()##;(1## (1##;("## ("##;(<##
=o. of persons7 (" &1 "# &% (&
> Answer7 ("&.$1$ and #.()$) ?
&. Find the mean deviation from the mean for the following data.
Age in years7 (( () (& (1 ($ ("
=o. of students7 % (' )$ )& ($ ((
> Answer7 (.) years ?
1. Find the mean deviation from median from the following data.
xi7 $ " % < ' (#
fi7 ($ )# &# )$ () (#
> Answer7 (.($(< ?
$. Find the mean, mean deviation and the coefficient of mean deviation from the following
data.
Age in years7 )#;)) ));)1 )1;)" )";)< )<;&# &#;&) &);&1
=o. of persons7 %# '# ((# (1# (&# <# <#
> Answer7 )%.#', ).'$<) and #.(#'& ?
". Find the mean deviation from median for the following data.
!lass Interval7 (#;&# &#;$# $#;%# %#;'# '#;((# ((#;(&# (&#;($#
Fre+uency7 (( (< )$ &# (1 < 1
> Answer7 .edian 4 %#."%, ..,. 4 )1.<'%, !oefficient 4 #.&$)&
?
%. !alculate .ean ,eviation from mean and its corresponding relative measure7
!lass Interval7 # 5 $ $ 5 (# (# 5 ($ ($ 5 )# )# 5 )$ )$ 5 &# &# 5 &$
Fre+uency7 % (1 )& &( )< (% (#
> .ean 4 (<.)", ..,. 4 ".1)1", !oefficient 4 #.&$(% ?
<. !alculate median, mean deviation from median and the coefficient of mean deviation for
the following data.
6xpenses in /s.7 (###;(&## (&##;("## ("##;('## ('##;))## ))##;)$##
=o. of 6mployees7 )# )$ &$ ($ $
> Answer7 ("1).<", )<#.%( and #.(%#' ?
'. Find the mode and mean deviation from mode from the following data. Also find the
corresponding coefficient of ..,.
!lass Interval7 #;(# (#;)# )#;&# &#;1# 1#;$# $#;"# "#;%#
Fre+uency7 1 % () (< < " )
> Answer7 ((.1"'& and #.&&'< ?
SANDARD DE"IAION
It is the most important and widely used of all the measures of dispersion. In mean deviation
algebraic signs are ignored. In standard deviation, the deviations are s+uared to get positive
values. *ere the deviations from arithmetic mean are s+uared, they are averaged and the
s+uareroot of the resulting +uantity is taken. Therefore this is also known as Droot;mean s+uare
deviationA.
If
1 2 3
, , ,.....,
n
x x x x
are n observations then their standard deviation denoted by D

A is given
by
( )
2
2
i
x
x
n
=

or
( )
2
i
x x
n


=

In the case of a fre+uency distribution the standard deviation is calculated as follows7
2
2
i i i i
i
f x f x
f fi


=





The corresponding relative measure known as the coefficient of variation is calculated as
. . 100 !3
x

=
Problems7
7. Find the standard deviation for the following sets of values7
8. ($, )#, (%, <, ', (), (<, (#
9. "$), "%), "%#, "&', "1), "%#
10. <$, &$, 1&, %$, 1), 1(
11. $), $%, 1', 1<, &$, &%
> Answer7 i. 1.)(() ii. (&.%$"< iii. ('.()<' iv. %.<"% ?
). From the following distribution, find the standard deviation.
xi7 (( () (& (1 ($ (" (%
fi7 & " (# < $ & )
xi7 )# &# 1# $# "# %# <# '#
fi7 $ < () ' % $ ) (
> Answer7 i. (.$"$% ii. (%.(<' ?
&. From the following data, calculate the !oefficient of variation..
.arks7 #;$ $;(# (#;($ ($;)# )#;)$ )$;&# &#;&$ &$;1#
=o. of students7 ) $ % (& )( (" < &
> Answer7 &".$)E ?
1. Find the mean, standard deviation and coefficient of variation.
Age in years7 #;(# (#;)# )#;&# &#;1# 1#;$# $#;"#
=o. of persons7 & % () (# 1 )
> Answer7 )%.<', ().$1", 11.'<&'E ?
$. Find the standard deviation7
.arks7 $;($ ($;)$ )$;&$ &$;1$ 1$;$$ $$;"$
=o. of students7 % () )# (1 < )
> Answer7 ().%$ ?
". The daily wages of "' workers are given below. Find the standard deviation of wages7
,aily wages in /s.7 &#;1# 1#;$# $#;"# "#;%# %#;<# <#;'#
=o. of workers7 % (& )( ($ < $
> Answer7 /s. (&."( ?
%. Find the standard deviation of the following data. Also find the coefficient of variation.
!lass Interval7 )#;1# 1#;"# "#;<# <#;(## (##;()# ()#;(1#
Fre+uency7 % () (" (& (& 1
> Answer7 )<.1&1$ and &".$'<<E ?
<. Find the standard deviation and the coefficient of variation for the following data7
,aily collection in /s. )$##;&### &###;&$## &$##;1### 1###;1$## 1$##;$###
=o. of Agents7 (( ($ (< (1 <
> Answer7 ")<.1(#" and (".''E ?
'. The following data gives returns, expressed in percentages, from two types of investments
A and over a period of % years. Which type gives a more consistent returnF
Type A (< (& ' )( )# () )$
Type ($ )) )% (( ' )( (1
> Answer7 Type A is more consistent ?
(#. Find in which of the following sub-ects, there is more variation of marks.
2ub-ect A7 $% )% "( &' % '$ <# (" $ $"
2ub-ect 7 )( (" %< %# 1( 1& $% &$ (1 ))
> Answer7 @!.3.BA 4 "$.%", @!.3.B 4 $1.#$. 2ub-ect A is more variable ?
((. Find the coefficients of variation for the following sets representing marks of two groups
of students. Which group is more consistentF
Group A7 <$ <& <% '# "$ %$ $% %#
Group 7 <1 <& %) %' %$ %# "% <#
> Answer7 @!.3.BA 4 (1.&1'1, @!.3.B 4 %."1#(, Group is more consistent ?
(). The mean and standard deviation of a group of observation are )$.$ and (#.<%
respectively. For another group of observations of the same type, the mean and standard
deviation are &%.$ and 1.<'. Which group is more variableF
> Answer7 Group I is more variable ?
(&. The mean and standard deviation of a group of observations are )$.$ and (#.<%
respectively. For another group of observations of the same type the mean and standard
deviation are &%.$ and 1.<' respectively. Which group is more consistentF
> Answer7 Group I is more variable ?
(1. The following is the data representing profits in thousands of rupees of some companies.
Find the coefficient of variation.
8rofit @D### /sB )#;1# 1#;"# "#;<# <#;(## (##;()# ()#;(1#
=o. of companies7 % () (" (& (& 1
> Answer7 (".&1<"E ?
($. The distribution of payments to a number of salesmen is given below. Find the standard
deviation and coefficient of variation.
8ayment in /s.7 =o. of 2alesmen 8ayment in /s.7 =o. of 2alesmen
(## 5 ()# 1 )## 5 ))# $#
()# 5 (1# (# ))# 5 )1# &)
(1# 5 ("# (" )1# 5 )"# )&
("# 5 (<# )' )"# 5 )<# (%
(<# 5 )## $) )<# 5 &## %
> Answer7 ('.&%)(E ?
(". Find the coefficient of variation for the following data7
Amount in /s. =o. of workers Amount in /s. =o. of workers
$## 5 $'' )$ '## 5 ''' ")
"## 5 "'' 1) (### 5 (#'' $#
%## 5 %'' $$ ((## 5 (('' &$
<## 5 <'' %# ()## 5 ()'' ((
> Answer7 )#.<%'&E ?
&ombined Standard Deviation7
If n( and n) are the number of observations of two groups with means
1
x
and
2
x
and standard
deviations
1

and
2

respectively then their combined standard deviation denoted by


12

is
given by
12

4
( ) ( )
2 2 2 2
1 1 1 2 2 2
1 2
n d n d
n n
+ + +
+
Where
1 12 2 12 1 2
d x x and d x x = = : :
Problems7
(. The following are some particulars of the distribution of weights of boys and girls in a
class. Find the standard deviation of the combined group.
oys Girls
=umber (## $#
.ean weight "# kgs. 1$ kgs.
2td. ,eviation & kgs. ) kgs.
> Answer7 %.$% kgs. ?
). Find the combined mean and combined standard deviation for the following7
.ale Female
=umber 1# "#
.ean *eight (%# cms ("# cms
2td. ,eviation $ cms. ) cms
> Answer7 ("1 cms H ".#& cms ?
& Find the combined mean and combined standard deviation for the following7
Group I Group II
=umber %# '#
.ean *eight %$ <)
2td. ,eviation 1 %
> Answer7 %<.'&%$ H ".<& ?
1. The first of the two samples in a group has (## items with mean ($ and standard
deviation &. If the whole group has )$# items with mean ($." and standard deviation
13.44
, find the standard deviation of the second group. > Answer7 1 ?
$. There are two groups of workers with the following information7
Group I Group II
=umber 1## $##
.ean *eight /s.$# /s.1(
2td. ,eviation /s.$ I
The standard deviation of the combined group of '## workers is /s.
37
. Find the
standard deviation of the second group. > Answer7 &.)$$% ?
". Find the combined mean and combined standard deviation for the following7
Group I Group II
=umber $# ($#
.ean *eight )1# ))#
3ariance ('" &)1
> Answer7 ))$ H ('.($%) ?
%. Find the combined mean and combined standard deviation for the following7
Group I Group II
=umber (## )##
.ean *eight <& <%
3ariance (" '
> Answer7 ((.' ?
<. The arithmetic mean and the standard deviation of (## items are found to be 1# and (#
respectively. If at the time of calculations one item was wrongly taken as &# instead of &.
Find the correct mean and correct standard deviation. > Answer7 &'.%& H (#."()( ?
'. The arithmetic mean and standard deviation of a group of )## items were ($# and ('
respectively. It was afterwards found that one item was wrongly considered as ($$
instead of ()$. Find the correct mean and correct standard deviation.
> Answer7 (1'.<$ H ('.#%<) ?
(#. The values of mean and standard deviation for $# observations were 1%$ and )$
respectively. It was observed that one item was wrongly considered as 1## instead of
$##. Find the correct mean and correct standard deviation.
> Answer7 1%% H )).<)$1 ?
((. The mean and standard deviation of a group of &# observations were respectively ()$
and ((. It was afterwards found that two observations were wrongly considered as (#$
and (#% instead of (&$ and (&% respectively. Find the correct mean and correct standard
deviation.
> Answer7 ()% and (#.#1' ?
(). The mean and standard deviation of )$ observations were 1) and < respectively. Two
values were wrongly recorded as )$ and )#. Find the correct mean and correct standard
deviation after deleting the wrong values.
> Answer7 1&."'$% H $.%$(& ?
(&. The mean and standard deviation of a group of &# observations were '& and %
respectively. It was detected that three observations were wrongly taken as <', "$ and
%&. Find the correct mean and correct standard deviation after deleting the wrong
values.
> Answer7 '1.(#" H $.#11 ?
(1. The arithmetic mean and standard deviation of the wage distribution of (### workers are
/s.1<#J; and /s.
726.4
. The arithmetic mean and standard deviation of 1## workers
out of them are /s.1$#J; and /s.(#J;. Find the mean and standard deviation of the
remaining "## workers.
> Answer7 /s.$##J; and /s.()J; ?
12. The coefficient of variation of a group of observations was )&.#%("E and the mean was
$%.) Find the standard deviation of the group.
> Answer7 (&.('%# ?
(". The coefficient of variation for a group was &#.'#< and mean is (&.")$. Find the
standard deviation.
> Answer7 1.)(() ?
(%. The standard deviation and coefficient of variation of a distribution are (&.%$"< and
).#')&. Find the mean.
> Answer7 "$%.1'"$ ?
(<. The following data gives the means and standard deviations of two groups of workers.
Group A Group
=umber 1## "##
.ean *eight /s.1$#J; /s.$##J;
3ariance /s.(#J; /s.()J;
Find iB Which group has a larger wage billF
iiB Which group is more consistentF
iiiB What is the combined mean and standard deviation of all the workers
taken togetherF
> Answer7 i. Group ii. Group A iii. 1<# and )'.'$( ?

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