Statistics, Modeling and Finance - Chapter 2

Here is a table showing 18 rents. Monthly rents $975 $850 $1025 1100 1000 950 1000 925 1050 850 925 950 975 1000 1000 1025 1050 1100 What is the median rent? $975.00 $981.38 $986.11 $1,000.00

$1,000.00. First you must array them in order: 850, 850, 925, 925, 950, 950, 975, 975, 1000, 1000, 1000, 1000, 1025, 1025, 1050, 1050, 1100, 1100. There are 18 numbers in the array. The formula to find the median is n + 1 ÷ 2. 18 + 1 ÷ 2 = 9.5. The median is the number that is halfway between the 9th and 10th from either end. Count in from either end and the 9th and 10th numbers are 1000 and 1000. The number that lies halfway between 1000 and 1000 is 1000. That's the median.

Here is a table showing 18 rents. Monthly rents $975 $850 $1025 1100 1000 950 1000 925 1050 850 925 950 975 1000 1000 1025 1050 1100. What is the mean rent? $975.00 $981.45 $986.11 $992.90

$986.11

A parameter is defined as:

1. A constant or value used to index a function, such as use of degrees of freedom to derive an appropriate t-statistic or F-statistic function. 2. A number that describes a characteristic of a population.

A decile divides the data into ___ equal parts. 2 4 5 10

10

Here is a table showing 10 GRMs. GRMs 98.5 93.6 112.8 122.0 104.2 91.7 98.8 114.2 117.9 123.5 What is the mean GRM? 104.5 105.9 106.2 107.7

107.7 Use your 12C: f CLEAR S 98.5 S+ 93.6 S+ 112.8 S+ 122 S+ 104.2 S+ 91.7 + 98.8 S+ 114.2 S+ 117.9 S+ 123.5 S+ g

Here is a table showing 10 GRMs. GRMs 98.5 93.6 112.8 122.0 104.2 91.7 98.8 114.2 117.9 123.5 What is the median GRM? 107.7 108.5 109.0 110.3

108.5

The mode is defined as:

A measure of central tendency consisting of the numerical value or categorical characteristic that occurs most frequently in a sample or population. For example, the mode of the data set (2,4,5,6,6,7,7,8,8,8,8,10,12) is 8, and the mode of (poor, poor, below average, average, average, average, average, good, good, excellent) is average.

A median is defined as:

A measure of central tendency identified as the middle value in an ordered array of numerical values, e.g., 7 is the median of (1,4,6,6,7,9,11,22,41). If the ordered array contains an even number of values, then the median is the mean of the two values on either side of the middle.

A mean is defined as:

A measure of central tendency. The sum of values for a variable in a sample or population divided by the number of items in the sample or population. The arithmetic average.

Universe is defined as:

In statistics, a population or entire body of data; used to distinguish between a population and a sample obtained from the population. Population is a more generally used term.

Sample is defined as:

In statistics, a subset of a population selected for analysis.

Here is a table showing 10 GRMs. GRMs 98.5 93.6 112.8 122.0 104.2 91.7 98.8 114.2 117.9 123.5 What is the modal GRM? 98.8 104.2 112.8 None

None. There is no mode, as each number only appears once.

The symbol ______ stands for "the sum of." x n Sigma y

Sigma

Here is a table showing 18 rents. Monthly rents $975 $850 $1025 1100 1000 950 1000 925 1050 850 925 950 975 1000 1000 1025 1050 1100 What is the modal rent? $975.00 $981,38 $1,000 $1,025

The Modal is $1,000

Central tendency is defined as:

The central point, or representative value, around which items cluster in a frequency distribution. The measures of central tendency (called averages) are the mean, the median, and the mode.

Array was defined as:

The listing of a set of observations, such as sales ratios, in a specific order, e.g., alphabetical, alpha-numeric, chronological, order of magnitude.

Aggregate is defined as:

The sum of all the observations within a population; e.g., the aggregate sale price of all the houses sold in a given community.

True or False: Fractiles are intervals that total 100% of the distribution. True False

True

"The central point, or representative value, around which items cluster in a frequency distribution" is the definition of mediancy central tendency mode collinearity

central tendency

Central tendency is part of ________________ statistics. linear graphical descriptive inferential

descriptive

quartile

equal to one-fourth of the data set. The data is divided into four equal quarters, after it is arrayed.

Fractiles

intervals that total 100% of the distribution.

The prime measure of central tendency is the mode median mean range

mean

Which is MOST similar to a common average? mean median mode statistic

mean

Every distribution of numbers has a(n) ____________ but there may not be a _____________. mode, median mode, mean average, median mean and median, mode

mean and median, mode

The _______ describes the central position in an array. mode median mean quartile

median

The most frequently occurring value in an array of numbers is the mean mode median range

mode

"A number that describes a characteristic of a population" is the definition of variant parameter aggregate sample

parameter

Parameters are used to characterize a __________; statistics are used to measure a ___________. population, sample sample, population statistic, variant dependent variable, independent variable

population, sample

What is the mode in the following list of rental amounts for two-bedroom apartments? $850, $885, $910, $825, $800, $900, $925 $871 $900 $885 there is no mode

there is no mode

"In statistics, a population or entire body of data" is the definition of dependent variant world universe

universe

The symbol for a variant is y S x n

x