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By William Feller

Significant adjustments during this version contain the substitution of probabilistic arguments for combinatorial artifices, and the addition of latest sections on branching strategies, Markov chains, and the De Moivre-Laplace theorem.

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Example text

EXAMPLE Ms. Kathryn Ball of the Applewood Auto Group wants to summarize the quantitative variable profit with a frequency distribution and display the distribution with charts and graphs. With this information, Ms. Ball can easily answer the following questions: What is the typical profit on each sale? What is the largest or maximum profit on any sale? What is the smallest or minimum profit on any sale? Around what value do the profits tend to cluster? SOLUTION To begin, we need the profits for each of the 180 vehicle sales listed in Table 2–4.

C. d. Company Hoden Building Products J & R Printing Inc. 9 The consultant wants to include a chart in his report comparing the sales of the six companies. Use a bar chart to compare the fourth-quarter sales of these corporations and write a brief report summarizing the bar chart. 26 CHAPTER 2 LO2-3 Summarize quantitative variables with frequency and relative frequency distributions. CONSTRUCTING FREQUENCY DISTRIBUTIONS In Chapter 1 and earlier in this chapter, we distinguished between qualitative and quantitative data.

The reason we assign numerical codes is to facilitate counting the number of students from each state with statistical software. Note that assigning numbers to the states does not give us license to manipulate the codes as numerical information. Specifically, in this example, 1 + 2 = 3 corresponds to Alabama + Alaska = Arizona. Clearly, the nominal level of measurement does not permit any mathematical operation that has any valid interpretation. Ordinal-Level Data The next higher level of measurement is the ordinal level.

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