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Chapter 2: Descriptive Statistics: Tabular and Graphical Displays: 2.1 Summarizing Data for a Categorical Variable
7e ® ®
Book Title: Essentials of Modern Business Statistics with Microsoft Office Excel
Printed By: MAURREN FRANADA SALIDO (2019081451@feu.edu.ph)
© 2018 Cengage Learning, Cengage Learning

2.1 Summarizing Data for a Categorical Variable

Frequency Distribution

We begin the discussion of how tabular and graphical displays can be used to summarize
categorical data with the definition of a frequency distribution (A tabular summary of data
showing the number (frequency) of observations in each of several nonoverlapping
categories or classes.) .

Frequency Distribution

A frequency distribution is a tabular summary of data showing the number

(frequency) of observations in each of several nonoverlapping categories or classes.

Let us use the following example to demonstrate the construction and interpretation of a
frequency distribution for categorical data. Coca-Cola, Diet Coke, Dr. Pepper, Pepsi, and
Sprite are five popular soft drinks. Assume that the data in Table 2.1 show the soft drink
selected in a sample of 50 soft drink purchases.

Table 2.1

Data from a Sample of 50 Soft Drink Purchases

Coca- Coca- Coca- Sprite Coca-

Cola Cola Cola Cola

Diet Coke Dr. Diet Coke Dr. Diet Coke

Pepper Pepper

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Pepsi Sprite Coca- Pepsi Pepsi

Cola

Diet Coke Coca- Sprite Diet Coke Pepsi

Cola

Coca- Diet Coke Pepsi Pepsi Pepsi

Cola

Coca- Coca- Coca- Coca- Pepsi

Cola Cola Cola Cola

Dr. Coca- Coca- Coca- Coca-

Pepper Cola Cola Cola Cola

Diet Coke Sprite Coca- Coca- Dr.

Cola Cola Pepper

Pepsi Coca- Pepsi Pepsi Pepsi

Cola

Pepsi Diet Coke Coca- Dr. Sprite

Cola Pepper

To develop a frequency distribution for these data, we count the number of times each soft
drink appears in Table 2.1. Coca-Cola appears 19 times, Diet Coke appears 8 times, Dr.
Pepper appears 5 times, Pepsi appears 13 times, and Sprite appears 5 times. These counts
are summarized in the frequency distribution in Table 2.2.

Table 2.2

Frequency Distribution of Soft Drink Purchases

Soft Drink Frequency

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Coca-Cola 19

Diet Coke 8

Dr. Pepper 5

Pepsi 13

Sprite 5

Total 50

This frequency distribution provides a summary of how the 50 soft drink purchases are
distributed across the five soft drinks. This summary offers more insight than the original
data shown in Table 2.1. Viewing the frequency distribution, we see that Coca-Cola is the
leader, Pepsi is second, Diet Coke is third, and Sprite and Dr. Pepper are tied for fourth. The
frequency distribution summarizes information about the popularity of the five soft drinks.

Chapter 2: Descriptive Statistics: Tabular and Graphical Displays: 2.1 Summarizing Data for a Categorical Variable
7e ® ®
Book Title: Essentials of Modern Business Statistics with Microsoft Office Excel
Printed By: MAURREN FRANADA SALIDO (2019081451@feu.edu.ph)
© 2018 Cengage Learning, Cengage Learning

© 2020 Cengage Learning Inc. All rights reserved. No part of this work may by reproduced or used in any form or by any means -
graphic, electronic, or mechanical, or in any other manner - without the written permission of the copyright holder.

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