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Chapter1IntroductionandDataCollectionBusinessStatistics:AFirstCourseFifthEdition1BusinessStatistics:AFirstCourse,5e©2009Prentice-Hall,Inc.\nBusinessStatistics:AFirstCourse,5e©2009Prentice-Hall,Inc.Chap1-2LearningObjectivesInthischapteryoulearn:HowStatisticsisusedinbusinessThesourcesofdatausedinbusinessThetypesofdatausedinbusinessThebasicsofMicrosoftExcelThebasicsofMinitab\nBusinessStatistics:AFirstCourse,5e©2009Prentice-Hall,Inc.Chap1-3WhyLearnStatistics?Soyouareabletomakebettersenseoftheubiquitoususeofnumbers:BusinessmemosBusinessresearchTechnicalreportsTechnicaljournalsNewspaperarticlesMagazinearticles\nBusinessStatistics:AFirstCourse,5e©2009Prentice-Hall,Inc.Chap1-4Whatisstatistics?AbranchofmathematicstakingandtransformingnumbersintousefulinformationfordecisionmakersMethodsforprocessing&analyzingnumbersMethodsforhelpingreducetheuncertaintyinherentindecisionmaking\nBusinessStatistics:AFirstCourse,5e©2009Prentice-Hall,Inc.Chap1-5WhyStudyStatistics?DecisionMakersUseStatisticsTo:PresentanddescribebusinessdataandinformationproperlyDrawconclusionsaboutlargegroupsofindividualsoritems,usinginformationcollectedfromsubsetsoftheindividualsoritems.MakereliableforecastsaboutabusinessactivityImprovebusinessprocesses\nBusinessStatistics:AFirstCourse,5e©2009Prentice-Hall,Inc.Chap1-6TypesofStatisticsStatisticsThebranchofmathematicsthattransformsdataintousefulinformationfordecisionmakers.DescriptiveStatisticsCollecting,summarizing,anddescribingdataInferentialStatisticsDrawingconclusionsand/ormakingdecisionsconcerningapopulationbasedonlyonsampledata\nBusinessStatistics:AFirstCourse,5e©2009Prentice-Hall,Inc.Chap1-7DescriptiveStatisticsCollectdatae.g.,SurveyPresentdatae.g.,TablesandgraphsCharacterizedatae.g.,Samplemean=\nBusinessStatistics:AFirstCourse,5e©2009Prentice-Hall,Inc.Chap1-8InferentialStatisticsEstimatione.g.,EstimatethepopulationmeanweightusingthesamplemeanweightHypothesistestinge.g.,Testtheclaimthatthepopulationmeanweightis120poundsDrawingconclusionsaboutalargegroupofindividualsbasedonasubsetofthelargegroup.\nBusinessStatistics:AFirstCourse,5e©2009Prentice-Hall,Inc.Chap1-9BasicVocabularyofStatisticsVARIABLEAvariableisacharacteristicofanitemorindividual.DATADataarethedifferentvaluesassociatedwithavariable.OPERATIONALDEFINITIONSDatavaluesaremeaninglessunlesstheirvariableshaveoperationaldefinitions,universallyacceptedmeaningsthatarecleartoallassociatedwithananalysis.\nBusinessStatistics:AFirstCourse,5e©2009Prentice-Hall,Inc.Chap1-10BasicVocabularyofStatisticsPOPULATIONApopulationconsistsofalltheitemsorindividualsaboutwhichyouwanttodrawaconclusion.SAMPLEAsampleistheportionofapopulationselectedforanalysis.PARAMETERAparameterisanumericalmeasurethatdescribesacharacteristicofapopulation.STATISTICAstatisticisanumericalmeasurethatdescribesacharacteristicofasample.\nBusinessStatistics:AFirstCourse,5e©2009Prentice-Hall,Inc.Chap1-11Populationvs.SamplePopulationSampleMeasuresusedtodescribethepopulationarecalledparametersMeasurescomputedfromsampledataarecalledstatistics\nBusinessStatistics:AFirstCourse,5e©2009Prentice-Hall,Inc.Chap1-12WhyCollectData?Amarketingresearchanalystneedstoassesstheeffectivenessofanewtelevisionadvertisement.Apharmaceuticalmanufacturerneedstodeterminewhetheranewdrugismoreeffectivethanthosecurrentlyinuse.Anoperationsmanagerwantstomonitoramanufacturingprocesstofindoutwhetherthequalityoftheproductbeingmanufacturedisconformingtocompanystandards.Anauditorwantstoreviewthefinancialtransactionsofacompanyinordertodeterminewhetherthecompanyisincompliancewithgenerallyacceptedaccountingprinciples.\nBusinessStatistics:AFirstCourse,5e©2009Prentice-Hall,Inc.Chap1-13SourcesofDataPrimarySources:ThedatacollectoristheoneusingthedataforanalysisDatafromapoliticalsurveyDatacollectedfromanexperimentObserveddataSecondarySources:ThepersonperformingdataanalysisisnotthedatacollectorAnalyzingcensusdataExaminingdatafromprintjournalsordatapublishedontheinternet.\nBusinessStatistics:AFirstCourse,5e©2009Prentice-Hall,Inc.Chap1-14SourcesofdatafallintofourcategoriesDatadistributedbyanorganizationoranindividualAdesignedexperimentAsurveyAnobservationalstudy\nBusinessStatistics:AFirstCourse,5e©2009Prentice-Hall,Inc.Chap1-15TypesofVariablesCategorical(qualitative)variableshavevaluesthatcanonlybeplacedintocategories,suchas“yes”and“no.”Numerical(quantitative)variableshavevaluesthatrepresentquantities.\nBusinessStatistics:AFirstCourse,5e©2009Prentice-Hall,Inc.Chap1-16TypesofDataDataCategoricalNumericalDiscreteContinuousExamples:MaritalStatusPoliticalPartyEyeColor(Definedcategories)Examples:NumberofChildrenDefectsperhour(Counteditems)Examples:WeightVoltage(Measuredcharacteristics)\nBusinessStatistics:AFirstCourse,5e©2009Prentice-Hall,Inc.Chap1-17PersonalComputerProgramsUsedForStatisticsMinitabAstatisticalpackagetoperformstatisticalanalysisDesignedtoperformanalysisasaccuratelyaspossibleMicrosoftExcelAmulti-functionaldataanalysistoolCanperformmanyfunctionsbutnoneaswellasprogramsthatarededicatedtoasinglefunction.BothMinitabandExceluseworksheetstostoredata\nBusinessStatistics:AFirstCourse,5e©2009Prentice-Hall,Inc.Chap1-18Minitab&MicrosoftExcelTermsWhenyouuseMinitaborMicrosoftExcel,youplacethedatayouhavecollectedinworksheets.Theintersectionsofthecolumnsandrowsofworksheetsformboxescalledcells.Ifyouwanttorefertoagroupofcellsthatformsacontiguousrectangulararea,youcanuseacellrange.WorksheetsexistinsideaworkbookinExcelandinsideaProjectinMinitab.Bothworksheetsandprojectscancontainbothdata,summaries,andcharts.\nBusinessStatistics:AFirstCourse,5e©2009Prentice-Hall,Inc.Chap1-19YouareusingprogramsproperlyifyoucanUnderstandhowtooperatetheprogramUnderstandtheunderlyingstatisticalconceptsUnderstandhowtoorganizeandpresentinformationKnowhowtoreviewresultsforerrorsMakesecureandclearlynamedbackupsofyourwork\nBusinessStatistics:AFirstCourse,5e©2009Prentice-Hall,Inc.Chap1-20ChapterSummaryReviewedwhyamanagerneedstoknowstatisticsIntroducedkeydefinitions:Populationvs.SamplePrimaryvs.SecondarydatatypesCategoricalvs.NumericaldataExamineddescriptivevs.inferentialstatisticsRevieweddatatypesDiscussedMinitabandMicrosoftExceltermsInthischapter,wehave