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PRACTICE EXERCISES ON DATA DISPERSION
Find the mean, mode, range, variance and standard deviation of the following data and compare your
calculations with the MS Excel template - BASIC STATISTICS
5,7,3,8,6,10,9,8,3,8
Use the formula : Mean = Σx/n. Variance s2= [Σx2 - (Σx)2/n]/(n-1) Std deviation s = √s2
See the two Data sets of inspection results from two process lines. Which of the two data sets shows a
wider dispersion. Use the Template- BASIC STATISTICS
A process runs at an average of 157 with a standard deviation of 4.5. Find the range of value(s) that will lie
a) within the middly 68 % of the data set
b) within the middle 94.5 % of the data set
c) exceeding 99.865 % of the data set
The data set represents the Vendor rating score in percentage given by an auto company to its vendors,
which was shared with all vendors. Use the Template- BASIC STATISTICS
Click here to access data set
Answer the following questions:
What is the median score of the vendor companies
How many companies are in the upper quartile (above 75th percentile)
If the Auto company wants to de -list the vendor companies in the bottom quartile, which companies will
get de-listed
The volume on the bottle is printed as 4.5 litres. Regulations require 95 % of the bottles to be
within 2 % of the printed volume and within + 5 % of printed volume for 100 % of the bottles.
How does the company’s production conform to these requirements?
DATA SET 1 DATA SET 2
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SOLUTIONS
Data set A has a standard deviation of 15.91 and a range of 72. Data set B has a standard deviation of 22.65 and a
range of 68. This is an interesting situation where one data set has a wider range and the other a wider standard
deviation. Because range may get influenced by extreme values, the better measure of dispersion is standard
deviation around its mean. Hence Dataset B has a wider dispersion
68 % corresponds to + 1 sigma standard deviation. As the s.d. is 4.5, the range of values covering middle 68 % are
157 + 4.5 or 152.5 and 161.5
94.5 % corresponds to +2 sigma standard deviation. Hence middle 94.5 % value range shall be 148 and 166
99.865 corresponds to upper 3 sigma limit. Hence the value shall be 170.5 and above.
The upper quartile score is 89.5. Hence 4 companies - B,F,K,O are in the upper quartile band
The bottom quartile score is 76.75. Companies C,G and L are below this score, hence will get de-listed
If you enter the score of company H in any of the boxes for getting the percentile rank as as y value, you will get a
percentile value of 53
If you enter the percentile 95 in any of the boxes as x value, you will get a score value of 93. Two companies B and
K have scored 93 and are in the above 95 percentile range
a) the data is well distributed around its mean, and displays normal distribution (enter the data in the Histogram
template sheet, use a class interval of 0.4, adjust the start at 4.30 and end at 4.70 to see its distribution pattern.)
b) The mean (4.476), median (4.48) and mode (4.46) are quite close to each other, showing good central tendency
(enter the data in the Basic statistics template sheet)
c) The range is 0.38 and the standard deviation is 0.07. Whether the range and s.d. are acceptable is a function of
the process expectation, normally indicated by specification range, industrial practices, cost of overfilling,
regulation regarding underfill etc. For example if the specification tolerance is + 1 %, the variability is very high, but
if it is + 10 %, it is exceptionally good. As all range values are within + 3 times s.d of the mean., we can assume the
process is under control ( see range values in Basic statistics template sheet)
The process does not comply with the requirement of 95 % within 2 % of declared volume, as only 84 % of the
population lies within the range (Feed the values at + 2 % in the percentile rank cells of the Basic statistics sheet to
get percentile ranks of 11 and 95 at the two limits). However the regulation is fully complied for the requirement
of max 5 % bottles with 5 % variation.