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Arithmetic Mean

This document discusses different methods to calculate arithmetic mean or simple mean: 1. The arithmetic mean is calculated by dividing the sum of all observations by their total number. 2. The coding method calculates mean by subtracting each value from an assumed mean and summing the differences. 3. The scaling method calculates mean by subtracting each value from an assumed mean, dividing the differences by a scaling factor, summing the results and adding to the assumed mean. 4. Weighted mean is calculated by multiplying each value by its corresponding weight, summing the products and dividing by the total of the weights. Examples demonstrate calculating mean from raw data, grouped data and using weights.

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0% found this document useful (0 votes)
87 views9 pages

Arithmetic Mean

This document discusses different methods to calculate arithmetic mean or simple mean: 1. The arithmetic mean is calculated by dividing the sum of all observations by their total number. 2. The coding method calculates mean by subtracting each value from an assumed mean and summing the differences. 3. The scaling method calculates mean by subtracting each value from an assumed mean, dividing the differences by a scaling factor, summing the results and adding to the assumed mean. 4. Weighted mean is calculated by multiplying each value by its corresponding weight, summing the products and dividing by the total of the weights. Examples demonstrate calculating mean from raw data, grouped data and using weights.

Uploaded by

Attique Hussain
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd
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How To calculate Arithmetic Mean or Simple Mean?

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Arithmetic Mean
Arithmetic mea is a value obtained by dividing
the sum of all the observations by their number.
Or
If X1, X2, X3, X4 . . . . . . . Xn are n observation of a
variable X, then the arithmetic mean, denoted
by x is defined as
=
Where i= 1, 2 ,3,……….n

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1. Coding method of calculating Mean

Where D = X-a Also a is know as assumed mean

2. Scaling Method of calculating mean


h∑ 𝑈
𝑋 =a+
𝑛 Where U = X-a/h

Also a is know as assumed mean and h is the unit of measurement.

3. Weighted Arithmetic Mean

X1 W1 + X 2 W 2+ X3 W 3+ X 4 W 4 + . . . . . . + XnW 𝑛 ∑ 𝑋𝑖𝑊𝑖


𝑋= =
W 1+ W 2+ W 3 +W 4 + . . . . . . + W 𝑛 ∑ 𝑊𝑖

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Example 1

X D=X-70
-3
67
𝑋=
∑ 𝑋𝑖
72 𝑛 2
68 = -2
= 68.5
70 0

65 -5 = 68.5

68 -2

75 5

63 -7
= -12
= 548

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Example 2 (Weighted Mean)

Item X Weights XW
Food 290 7.5 2175
Rent 54 2 108
Clothing 98 1.5 147
Fuel 75 1 75
Misc. 75 0.5 37.5
Sums =12.5 =2542.5

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Grouped Data

Simple Mean 𝑋=
∑ 𝒇 𝑿𝒊
∑𝑓
Coding method of calculating Mean

h ∑ 𝑓𝑈
Scaling Method of calculating mean 𝑋 =a+
∑𝑓

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Example 3(Grouped Data)
Groups f X fX U= X-47/5 fU D=X-47 fD
35-39 13 37 481 -2 -26 -10 -130
40-44 15 42 630 -1 -15 -5 -75
45-49 28 47 1316 0 0 0 0
50-54 17 52 884 1 17 5 85
55-59 12 57 684 2 24 10 120
60-64 10 62 620 3 30 15 150
65-69 5 67 335 4 20 20 100
Sums =100 4950 50 35 250

X= (Upper class Boundary +Lower Class Boundary) /2

∑ 𝒇 𝑿𝒊 = h ∑ 𝑓𝑈 =
𝑋= 𝑋 =a+
∑𝑓 ∑𝑓
= 47+

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Next Video
How to Calculate Median?

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