Module II Measures of Central Tendency

 Average may be defined as that value of a distribution
which is considered as the most representative for a

group of numbers.
 Since average represents the entire data, its value lies
somewhere in between two extremes i.e largest and

smallest value.
 Therefore average is referred to as measure of central
tendency
 It should be rigidly defined.
 It should be based on all the observations.
 It should be easy to understand and calculate.
 It should have sampling stability.
 It should be capable of further algebraic treatment.
 It should not be unduly affected by extreme
observations.
 Arithmetic mean (A.M)
 Median (Md.)
 Mode (Mo.)
 Geometric mean (G.M)
 Harmonic mean (H.M)
 Ungrouped  Grouped Data
Data  Direct method
 Indirect method or
 Direct method
 Short cut method short cut method
 Direct Method
X
 x
n
 Short Cut method
x  A
 x A= Assumed mean
n
 Grouped Data (Discrete)
1. Direct Method
X 
 fx
x  value of a var iable
f
2. Indirect method (short cut method)
Deviation method
X  A
 fd
d  x  A,
f
A  Assumed mean
 Grouped Data (continuous)
1. Direct method
X 
 fx
x  mid value of a var iable
f
2. Short cut method
(i) Deviation method
X  A
 fd
d  x  A,
f
A  Assumed mean
Step deviation method
X  A
 fd
i d 
x A
f i
A  Assumed mean
i  width of the class int erval
X 1  Mean of the first series
X 2  Mean of the sec ond series
N 1  No. of observations of first series
N 2  No. of observations of sec ond series
X 12  Mean of combined series
N1 X 1  N 2 X 2
X 12 
N1  N 2
XW 
WX
W
X  The var iable
W  Weights attached to the var iable X
 It is the most popular average in practice.
 It is unduly affected by extreme
observations.
 In open ended classes, it is difficult to
compute without making assumption.

 It is not a good measure for extremely
asymmetrical distribution.
 Median is the value which divides the data
into two equal halves.
 It is a positional average.
 ‘n’ is even  ‘n’ is odd
1. Arrange the data in 1. Arrange the data in
increasing order increasing or
2. Find (n/2)th value decreasing order.
3. Find ((n/2)+1)th value 2. Md. = {(n+1)/2}th
4. Md. = Average of value
above two values.
 Arrange the values) in increasing order along
with respective frequencies
 Compute less than cumulative frequencies
 Find N/2
 Md.= value corresponding to the cumulative
frequency > N/2

N
c
Md  l  2 i
f
l  lower lim it of Median class
N  Total frequency
c  cumulative frequency preceeding to Median class
f  frequency of median class
i  width of median class
 Class with cumulative frequency > N/2 is

median class
Merits Demerits
 Median can be computed  It is a positional average.
for open ended classes.  It is not capable of

 It is not influenced by further algebraic
extreme values. treatment.
 It is affected by
sampling fluctuations.
 First Quartile or Lower
Quartile
N
c
Q1  l  4 i
f
l  lower lim it of first quartile class
f  frequency of first quartile class
c  cumulative frequency preceeding to Q1 class
i  width of Q1 class
 Class with cumulative frequency > N/4

is first quartile class.
 Third Quartile or Upper
Quartile
3N
c
Q3  l  4 i
f
l  lower lim it of third quartile class
f  frequency of third quartile class
c  cumulative frequency preceeding to Q3 class
i  width of Q3 class
 Class with cumulative frequency > 3N/4

is third Quartile class
 It is the value which occurs maximum number
of times in the series.
 Mode for ungrouped data
the value that appears maximum number of

times
f1  f 0
Mo.  l  i
2 f1  f 0  f 2
l  lower lim it of mod al class
f 1  frequency of mod al class
f 0  frequency of class preceeding the mod al class
f 2  frequency of class succeeding the mod al class
i  width of the mod al class
 Class with maximum frequency is modal

class
 Merits  Demerits
 It is not affected by  Not rigidly defined
extreme values  Not capable of

 It can be computed further algebraic
for open ended treatment
classes.
 It is used to describe
qualitative data
 Empirical relation
Mode = 3median-2mean
 Arithmetic mean should not be used
◦ In highly skewed distribution
◦ In open ended distributions
◦ When the distribution is unevenly spread
 Median Is used
◦ It is used in Open ended distributions
 Mode is used
◦ Generally to describe Qualitative data.
 Geometric mean is useful in averaging ratios
and percentages and in computing average
rates or increase or decrease.
 Harmonic mean is used for data expressed as
rates such as km per hour, tonnes per day

etc.

Module II Measures of Central Tendency

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 Average may be defined as that value of a distribution

which is considered as the most representative for a

somewhere in between two extremes i.e largest and

compute without making assumption.

frequency > N/2

 Class with cumulative frequency > N/2 is

for open ended classes.  It is not capable of

 Class with cumulative frequency > N/4

 Class with cumulative frequency > 3N/4

the value that appears maximum number of

 Class with maximum frequency is modal

extreme values  Not capable of

rates such as km per hour, tonnes per day

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