Information about Business Statistics_an overview

Business Statistics for risk management perspective

Descriptive Statistics used to describe the main features of a collection of data in quantitative terms Inferential Statistic comprises the use of statistics and random sampling to make conclusion concerning some unknown aspect of a population Sample (mean) Random • Calculate Population sample mean Sample to estimate (mean) population mean

Measures of central tendency (Mean, Median, Mode) Measures of dispersion (variance, standard deviation) Measures of shape (skewness)

Mean Arithmetic Mean Geometric Mean Median Mode Quartiles

Range: the difference between the largest value of data set and the smallest value Interquartile range: the range of values between the first and the third quartile Mean absolute deviation MAD = ∑ | x – x | / n Variance S2 = ∑ X2 – (∑ X)2/n (for sample variance) n-1 Standard Deviation S S2

Interpretation of Standard Deviation Eg. µ = 100 σ=15 • ± 1σ = 85/115 • ± 2σ = 70/130 • ± 3σ = 55/145 Frequency Value Changes 68% 95% 99.7%

Skewness is a measure of the asymmetry of the probability distribution of a real-valued random variable Negatively Skew/ Positively Skew/ Skewed to the left Skewed to the right Mean Mean Mode Mode Median Median Sk = 3 (mean − median) / standard deviation

Relative Cumulative Class Interval Frequency Mid Point Frequency Frequency 20 ≤ x < 30 6 25 .12 6 30 ≤ x < 40 18 35 .36 24 40 ≤ x < 50 11 45 .22 35 50 ≤ x < 60 11 55 .22 46 60 ≤ x < 70 3 65 .06 49 70 ≤ x < 80 1 75 .02 50 Totals 50 1.00

STEM LEAF 2 3 4 7 86 77 91 60 55 5 5 9 76 92 47 88 67 6 0 7 7 3 5 6 7 8 3 6 8 23 59 73 75 83 9 1 2

To determine likelihood of an event

Method of assigning probabilities: Classical (Apriority) probability Relative frequency of occurrence Subjective probability

General law of addition P X Y P X PY P X Y Special law of addition P X Y P X P Y General law of multiplication P X Y P X P Y | X P Y P X | Y Special law of multiplication P X Y P X PY Law of conditional probability P X | Y P X Y P X PY | X PY P Y

Construct risk model and measure the degree of relatedness of variables

Find the equation of regression line ^ Y b0 b1 X _ _ Where as the populationY intercept b0 Y b1 X The population slope X Y XY b1 SSxy n SSxx X 2 X2 n

Hospitals Number of beds Full Time Employees ^ X Y Y b0 b1 X 1 23 69 ^ 2 29 95 Y 30 .9125 2.232 X 3 29 102 4 35 118 5 42 126 6 46 125 7 50 138 8 54 178 9 64 156 10 66 184 11 76 176 12 78 225

Measure of how well the regression line approximates the real data points The proportion of variability of the dependent variable (Y) explained by independent variable (X) R2 = 0 ---> no regression prediction of Y by X R2 = 1 ---> perfect regression prediction of Y by X (100% of the variability of Y is accounted for by X )

r2 = Explained Variation / Total Variation Total Variation = Explained Variation + Unexplained Variation (The dependent variable,Y , measured by sum of squares ofY (SSyy)) Explained Variation = sum of square regression (SSR) SSR Yi Y ) i 2 Unexplained Variation = sum of square of error (SSE) SSE Xi Yi 2 i

r2 = Explained Variation / Total Variation 2 ^ Y Y r2 = 1 - Y 2 Y 2 n i

Hospitals Number of beds Full Time Employees ^ X Y Y b0 b1 X 1 23 69 ^ 2 29 95 Y 30 .9125 2.232 X 3 4 29 35 102 118 SSE = 2448.6 5 42 126 6 46 125 r2 = 0,886 7 50 138 8 54 178 9 64 156 10 66 184 11 76 176 12 78 225

Diane Christina | 2009 diane.christina@apb-group.com | me@dianechristina.com http://dianechristina.wordpress.com

http://ecommerce-for-business.com/shackles-boats-theboatonlinestore/ We offer a ...

http://vendere-su-internet.com/shackles-for-boats-from-theboatonlinestore/ Moori...

Pretty similar to gold bars are these silver slabs. Silver is considered as the mo...

If you are an investor of gold bars and coins, one of the major things that you ou...

CyberSecurity's social media stats for one week as of Oct 21st 2014

CyberSecurity's social media stats for one week as of Oct 28th 2014

Business Dynamics Statistics: An Overview “The fundamental impulse that keeps the capital engine in motion comes from the new consumers’ goods,

Read more

Excerpt from the overview: The Business Dynamics Statistics (BDS) includes measures of establishment openings and closings, firm startups, job creation and ...

Read more

Data Sources. The Business Dynamics Statistics (BDS) is a product of the U.S. Census Bureau. The BDS were developed by the Center for Economic Studies (CES).

Read more

Statistics is the study of the collection, ... Overview. In applying statistics to a problem, ... Business statistics;

Read more

View 42411 Business Statistics posts, presentations, experts, and more. Get the professional knowledge you need on LinkedIn.

Read more

Home > Programmes > Postgraduate Studies > MSc in Data Science and Business Statistics. ... An Overview; Admission Requirements; Programme of Study;

Read more

Statistics Overview. The field of statistics can be broken down into two broad categories, descriptive statistics and inferential statistics. The basic ...

Read more

Statistics: An Introduction. Statistics is a set of tools used to organize and analyze data. Data must either be numeric in origin or transformed by ...

Read more

The Business Dynamics Statistics (BDS) includes measures of establishment openings and closings, firm startups, job creation and destruction by firm size ...

Read more

## Add a comment