Data reduction as it applies to variable selection is more complex. This is because variables to be studied must be selected and others discarded. This is typically done by individuals who are experts in the field Section 2.5 Review Questions 1. What is the relationship between statistics and business analytics? Statistics can be used as a part of business analytics, either to help generate reports or as a presentation for What are the main differences between descriptive and inferential statistics? Descriptive statistics is all about describing the sample data on hand, and inferential statistics is about drawing inferences or conclusions about the characteristics of the population 3. List and briefly define the central tendency measures of descriptive statistic Measures of centrality are the mathematical methods by which we estimate or describe central positioning of a given variable of interest. A measure of central endency is a single numerical value that aims to describe a set of data by simply identifying or estimating the central position within the data The arithmetic mean(or simply mean or average) is the sum of all the values/observations divided by the number of observations in the data set the midd le of a given set of data that has been arranged/sorted in order of Der in The med ian is the measure of center value in a given data set. It is the number in magnitude(either ascending or descend ing) The mode is the observation that occurs most frequently( the most frequent value in our data set) 4. List and briefly define the dispersion measures of descriptive statistics Measures of dispersion are the mathematical methods used to estimate or describe the degree of variation in a given variable of interest The range is the difference between the largest and the smallest values in a given data set (i.e, variables) Variance is a method used to calculate the deviation of all data points in a given data set from the mean 6 Copyright C2018 Pearson Education, Inc.6 Copyright © 2018Pearson Education, Inc. Data reduction as it applies to variable selection is more complex. This is because variables to be studied must be selected and others discarded. This is typically done by individuals who are experts in the field. Section 2.5 Review Questions 1. What is the relationship between statistics and business analytics? Statistics can be used as a part of business analytics, either to help generate reports or as a presentation format. 2. What are the main differences between descriptive and inferential statistics? Descriptive statistics is all about describing the sample data on hand, and inferential statistics is about drawing inferences or conclusions about the characteristics of the population. 3. List and briefly define the central tendency measures of descriptive statistics. Measures of centrality are the mathematical methods by which we estimate or describe central positioning of a given variable of interest. A measure of central tendency is a single numerical value that aims to describe a set of data by simply identifying or estimating the central position within the data. The arithmetic mean (or simply mean or average) is the sum of all the values/observations divided by the number of observations in the data set. The median is the measure of center value in a given data set. It is the number in the middle of a given set of data that has been arranged/sorted in order of magnitude (either ascending or descending). The mode is the observation that occurs most frequently (the most frequent value in our data set). 4. List and briefly define the dispersion measures of descriptive statistics. Measures of dispersion are the mathematical methods used to estimate or describe the degree of variation in a given variable of interest. The range is the difference between the largest and the smallest values in a given data set (i.e., variables). Variance is a method used to calculate the deviation of all data points in a given data set from the mean