BUSINESS STATISTICS (BUS 3308)

PRESENTATION OF DATA
CHAPTER 3

Prof. Dr. Qazi Md. Galib Ahsan

School of Business
Bangladesh Open University.
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INTRODUCTION:PRESENTATION OF DATA
 After the data have been collected , the next step is to
present them in some suitable form. The need for proper
presentation arises of the fact that statistical data in their
raw form almost defy comprehension. Presentation can
take two basic form:
 (1) . Statistical Table and (2) Statistical Chart
A statistical table is presentation of numbers in a logical
arrangement , with some brief explanation to show what they
are.
A statistical chart or a graph is a pictorial device for
presenting data.
This Chapter has been divided into:
 (A) Classification of Data
 (B) Tabulation of Data
2
 (C 1-50
). Charting Data.
(A) Classification of Data :

It is the first step towards further processing on

analysis of the data. Classification is the process of
arranging the data according to some common
characteristics.
W. L. R Connor has defined classification as “the
process of arranging things (either actually or
notionally) in groups or classes according to
resemblances and affinities.” So classification can
be done:
(i)Qualitative and Quantitative
(ii)
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Array Formation
3
(i) Qualitative and Quantitative Classification:
Main two characteristics of classification:
(a) Qualitative Classification: In qualitative classification,
data are classified on the basis of some attribute or quality such
as sex, color of hair, literacy, religion etc. The point to note in
this type of classification is that the attribute under study cannot
be measured, one can only find out whether it is present or
absent in the units of the population under study. Another none
of qualitative classification is “Attribute.”
(b) Quantitative classification: Quantitative classification
refers to the classification of data according to some
characteristics that can be measured, such as height, weight,
income, sales etc. This is also known as “Variable.”
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 (i) Qualitative and Quantitative
Classification:
A quantity which varies from one individual to another is known as a
variable or variate. It is a description or a value of the individual which is
capable of being expressed in numerical terms.
Variable are of two types: (a) Discrete and (b) Continuous
Discrete: When a variable can assume only isolated values, it is called
discrete variable. So, discrete variable is the variable which cannot assume
fractional number. For Example; if the number of children in a family is
the variable of interest, it is obvious that it cannot assume fractional values
and hence it is discrete variable.
Continuous: A variable is said to be continuous if it can theoretically
assume any value within a given range or ranges. Such variables, for
instance, are height of a person, price of a commodity and time. Thus a
student grow, say, from 90 cm to 150 cm, his high height passes through
all values
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 (ii) Array Formation

A simple type of classification is Array

Formation. Array is an arrangement of date in
“ascending” or in “descending” order of
magnitude.
Example:
The Income data of 10 families are given 457,
567, 1004, 1847, 809, 2115, 4391, 918, 5410,
7348
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The above data are arranged in ascending onder of
magnitude:
457, 1847,
567, 2115,
809, 4391,
918, 5410,
1004, 7348
The data arranged in descending order of magnitude:
7348 1004
5410 918
4391 809
2115 567
1847 457
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 (iii)Frequency Distribution
Perhaps the most important form of tabulation from a
statistical point of view, is what is called a Frequency
distribution.
This is a form of Condensing and summarizing a long
and complex record of quantitative data. So Frequency
distribution is on arrangement of numerical data
according to size on magnitude.
A frequency distribution shows the number of data
observations that fall into specific intervals
Example:
The following are the marks of 10 students according to
their merits: 4, 7, 8, 11, 12, 13, 14, 17, 19 , 24.
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 Frequency distribution showing 10 student's according to
Marks:
Class Intervals of Marks Tally Marks f
1st 0 – 5 I 1
2nd 5 – 10 II 2
3rd 10 – 15 IIII 4
4th 15 – 20 II 2
5th 20 – 25 I 1

So from the above Frequency distribution we easily

understand that their are 5 parts of Frequency distribution.
 (1) Range (0 – 25)
 (2) Class Interval (5 class interval)
 (3) Frequency (number of units occurring in each class
interval)
 (4) Class Limit (0 to 5) and

9
 (5)1-50
Mid point
 (1) Range: Interval between the highest and lowest
figure is known as Range.
(2) Class Interval: The difference between upper limit
and lower limit is known as class interval. For example,
in the class of 20 – 40, the class interval is 20 (i.e., 40
minus 20). The size of the class interval is determined by
the number of classes and the total range in the data.
(3) Frequency: The number of observations falling
within a particular class is its frequency on class
Frequency. Frequency is computer with the help of
“tally bars”. If the frequency of all classes are added, we
obtain the total frequency i.e., the total number of items
on observations under study.
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 (4) Class Limit: The class limit are the lowest and the highest
values that can be included in the class. For example; take the class
20 – 25. The lowest value of this class is 20 and the highest 25. The
two boundaries of a class are known as the lower limit and upper
limit of the class. The lower limit of a class is the value below
which there can be no value in that class. The upper limit of a class
is the value above which no value can belong to that class.
(5) Mid point: The variate value which lies mid-way between the
upper and lower limits is called mid-value or mid-point of that
classes.
Mid point of a class: Upper limit of the class + lower limit of the class
2
The significance of mid-points lies in the fact that further
statistical calculations are based on them.
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 Exclusive method and Inclusive method
There are two Methods of classifying the data according to class intervals;
namely:

(a) Exclusive method and (b) Inclusive method.

(a) Exclusive Method: When the upper limit of one class
constitutes the lower limit of the next class it is called Exclusive
method of assigning class limits. In this method upper limit of the
first class is actually excluded from that class and included in the
next class. In the same way upper limit of the each class is
excluded from that class and included in the next class. Any
exclusive method of classifications is specially useful for
continuous frequency distribution.
Wages (Tk). Number of workers
40 – 50 15
50 – 60 20
60 – 70 45
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70 – 80 20
 Exclusive method and Inclusive method
(b) Inclusive method: Under this method, the items of
the values of both the upper and the lower are included
in the class. So in this method the lower limit of the
next class starts with the figure next to the upper limit
of the first class. Any Inclusive method of classification
is specially useful for discrete Frequency distribution.
Wages (Tk) Number of workers
40 – 49 15
50 – 59 20
60 – 69 45
70 – 79 20

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 CORRECTION FACTOR
To ensure continuity and to get correct class
Interval ; we should adopt “ Exclusive Method” of
classification. However, where the “ Inclusive
Method” has been adopted it is necessary to make
an adjustments to determine the correct class
interval and to have continuity.
 Correction Factor =

This value will be subtracted from all lower limits and

adding the value to all the upper limits.
In the next slide an example to understand the application of
correction factor is given :
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 Example: Correction Factor
Monthly Wages No of Monthly Wages No of Workers
(Tk). Workers (Tk).

5000 ̶ 5999 5 8000 ̶ 8999 18

6000 ̶ 6999 10 9000 ̶ 9999 12

7000 ̶ 7999 15 10000 ̶ 10999 4

Now to adjust class limits , we take the difference between

6000 and 5999 ; which is one (1).
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 Correction Factor =
• = = 0.5 ( This is Correction Factor)
 Now deduct 0.5 from the lower limits of all class interval
and add 0.5 to all the upper limits. The adjusted class
intervals would then be as follows:

Monthly Wages No of Workers Monthly Wages No of Workers

(Tk). (Tk).

4999.5 ̶ 5999.5 5 7999.5 ̶ 8999.5 18

5999.5 ̶ 6999.5 10 8999.5 ̶ 9999.5 12

6999.5 ̶ 7999.5 15 9999.5 ̶ 10999.5 4

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16
 Example:
Form a frequency distribution taking a suitable class interval for
the following data giving the age of 52 employees in a factory :

67 34 36 48 49 31 61 34 43 45
38 32 27 61 29 47 36 50 46 30
46 32 30 33 45 49 48 41 53 36
37 37 47 30 46 50 28 35 35 38
36 46 62 43 34 62 69 50 28 44
43 60 39

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 Solution:
Let us determine the suitable class interval with the
help of Struges formula :
i.
i. =
= =6.2≈5
Since values like 3,7,9 etc should be avoided. In
practice interval size is rounded up to some
convenient number, such as a multiple of 5 or 10
or 100.

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 Table : Frequency Distribution ( Exclusive Method)
Class Interval (Ages) Tally Bars Frequency ( # of Employees)
25 – 30 |||| 4
30 – 35 |||| |||| 10

35 – 40 |||| |||| | 11

40 – 45 |||| 5

45 – 50 |||| ||| || 12

50 – 55 |||| 4

55 – 60 0 0

60 – 65 |||| 4

65 – 70 || 2

Total ∑N = 52 19
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 (B) Tabulation of Data
Tabulation involves the orderly presentation of numerical
facts in tabular form so as to elucidate the main features of
these facts. Tabulation is the process of condensation.
Karnel defined; “A table summarizes the data by using
columns and rows and entering figures in the body of table.”
 “A table is a systematic arrangement of statistical data in
columns and rows. Rows are horizontal arrangement ,
whereas columns are vertical ones. The purpose of a table is
to simplify the presentation and facilitate comparisons” . 

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 (C ). Charting Data.
(1) Graphical Representation of Data
(2) Diagrams
(1) Graphical re-presentation is the type of presentation of data
in the form of graph. A frequency distribution can be presented
graphically in any of the following ways:
(i). Histogram
(ii) Frequency polygon
• (iii). Smoothed Frequency curves
(iv) Cumulative frequency curve or Ogives

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 (2) Diagrams are of the following types:
• (i) Simple bar diagrams
• (ii)Sub-divided or Component bar diagram
• (iii) Multiple bar-diagram
• (iv)Percentage bar-diagram
• (v) Deviation bars
• (vi) Paired Bars
• (vii) Pie Chart

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 Example:

Monthly Income No of Employees Monthly Income No of Employees

(In thousand (In thousand
taka) taka)

18 20 10 28 30 320

20 22 35 30 32 200

22 24 140 32 34 75

24 26 300 34 36 35

26 28 370 36 38 15

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 (i) Histogram
Histogram
370

320
300

200

140

75

35 35

10 15
18 - 20 20 - 22 22 - 24 24 - 26 26 - 28 28 - 30 30- 32 32 - 34 34 - 36 36 - 38
 (ii) Frequency Curve

370 Frequency Curve

320
300
Axis Title

200

Series1
140

75

35 35
10 15
18 - 20 20 - 22 22 - 24 24 - 26 26 - 28 28 - 30 30- 32 32 - 34 34 - 36 36 - 38

Axis Title

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 (iii) Frequency Polygon

Frequency Polygon
Series1
400

350

300

250
Axis Title

200

150

100

50

0
18 - 20 20 - 22 22 - 24 24 - 26 26 - 28 28 - 30 30- 32 32 - 34 34 - 36 36 - 38
Axis Title

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 (iii) Ogive Table
Monthly Income No of Employees Cumulative Frequency
(In thousand taka)
Less than Ogive More than Ogive
18 20 10 10 1500
20 22 35 45 1490
22 24 140 185 1455
24 26 300 485 1315
26 28 370 855 1015
28 30 320 1175 645
30 32 200 1375 325
32 34 75 1450 125
34 36 35 1485 50
36 38 15 1500 15

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 Ogive

1600
1500 1490 1485 1500
1455 1450
1400 1375
1315

1200 1175

1015
1000
855
800

645
600
485

400
325

185
200
125
45 50
10 15
0
18 - 20 20 - 22 22 - 24 24 - 26 26 - 28 28 - 30 30- 32 32 - 34 34 - 36 36 - 38

Less than Cumulative Frequency More than Cumulative Frequencies

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 • (vii) Pie Chart: (Diagram)
Pie-Chart: A pie-diagram is a circle sub-divided into parts to
reveal the various components of the data represented in the
diagram. This permits comparison between the different
components of the same phenomenon. A circles has 360 degrees
at the center which is divided into sections in proportion to the
components of the data:
Example:
Represent the following
Districts
data by a Pie –Chart:
Amount in Crores of
Taka
2017 2018
Dhaka 829 2670
Chattrogram 1070 2443
Rajshahi 108 274
Khulna 313 615
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Total 313 615
 Solution:
Districts Amount in Crores of Taka
2017 Percentage 2018 Percentage

Dhaka 829 36% 2670 45%

Chattrogram 1070 46% 2443 41%

Rajshahi 108 5% 274 4%

Khulna 313 13% 615 10%

Total 2320 100% 6002 100%

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 Figure : Pie Chart ( Year 2017)
%

13%

5% 1
36%
2
3
4

46%

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  Figure : Pie Chart ( Year 2018)

2018

10%
5%
1
2
44% 3
4

41%

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 • HOME WORK
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