Midsize SUV Analysis
There are many decisions that a consumer must make when purchasing a new vehicle, such as the make, model, size and all the amenities that make the vehicle a reflection of comfort and style to that particular individual. Accessibility of information on different vehicles can be readably available through dealerships, magazines and the Internet to help in the decision making process.
This paper will focus on formatting information gathered on four midsize SUV's. By examining the central tendencies of the data, team A will first calculate the measures of central tendencies and dispersion. The team will then display this statistical data using graphic and tabular techniques to enhance the decision making process. And lastly, the team will make recommendations based on the findings of the research.
Measures of Central Tendencies
Measures of central tendency are measures which are representative of a sample or population. They provide the means for one to be more objective when collecting data or making inferences. These measures distinguish the center or middle of a set of values and best characterize the distribution. The typical measures of central tendency are the mean, median, and mode.
The Mean is the most common measure of central tendencies and can be used for all data. This is used in many applications and good for symmetrical distributions. The mean price for the four SUV's, the Kia Sorento, Jeep Liberty, Ford Escape, and Saturn VUE is $21,172.50. For the same four cars the mean of miles per gallon is 19.88, and the mean for the warranty is 4.5 years and 68,000miles.
The median is good to use for all levels of measurements except for nominal data and is easy to compute. A median always exists and will not be affected by extreme values. For the median to be used the data must be properly ordered. An aspect of using a median that one must consider is that a median doesn't use all of the data values.
The Median price between the four SUV's, the Kia, Jeep, Ford and Saturn is $20,687.50. The Median for the miles per gallon is 20 and the warranty median is 4.5 years and 68,000 miles.
The mode is simple to compute and provides a measure of frequencies of occurrences within the data. A mode is good to use for nominal data and is not affected by extreme values. Using a mode is not very descriptive of the data and is sensitive with respect to how categories are combined. For this purpose a mode would not be useful in this analysis.
Measure of Dispersion
Understanding how the data is dispersed is essential in interpreting the measures of central tendencies. Without the measure of dispersion the central tendencies could be very misleading. The measure of dispersion will describe the spread of the data and the variation around the central value. A common...