Basis of Statistical Calculations in Classified Data

Question

In statistical calculations on classified (grouped) data, which values are used instead of the actual values of observations?

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In statistical calculations on classified (grouped) data, which values are used instead of the actual values of observations?

  1. The actual values of each observation
  2. The upper class limits
  3. The lower class limits
  4. The class mark (mid-point) values — Correct Answer
Explanation:
Correct Answer Explanation

In a frequency distribution, further statistical calculations are based only on the class mark (mid-point) values, not on the actual values of observations.

Key Points:
  • Once raw data is grouped into classes, individual observations lose significance.
  • All values in a class are assumed to be equal to the class mark.
  • Example: Class 20–30 contains 6 observations (25, 25, 20, 22, 25, 28). In calculations, all are treated as 25 (the class mark).
  • This is the 'Loss of Information' inherent in classification.

📚 About this Topic — CH-3: Organisation of Data

This multiple choice question is from CH-3: Organisation of Data, NCERT Books, Statistics for Economics. It has 4 options with a detailed explanation of the correct answer. Practice more MCQs from CH-3: Organisation of Data to strengthen your preparation.

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