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# Statistics and Its Importance in Real-Life

Statistics is a scientific body of knowledge that deals with the Collection, Organization,
Presentation, Analysis and Interpretation of data.

## Presentation – refers to the use of textual, tabular, and graphical forms.

Analysis – involves describing the data by using statistical methods and procedures.

## Application of Statistics in Real Life

A business firm collects and gathers data or information from its everyday operation.
Statistics is used to summarize and describe data such as expenditures, and production to
enable the management to understand and determine the status of the firm.

Education

Through statistical tools, a teacher can determine the effectiveness of a particular teaching
method by analyzing test scores obtained scores by their students. Results of this study may be used
to improve teaching-learning activities.

## Descriptive and Inferential Statistics

Descriptive Statistics is a statistical procedure concerned with describing the characteristics and
properties of a group of persons, places, or things.

## Inferential Statistics is a statistical procedure that is used to draw inferences or information

about the properties or characteristics by a large group of people, places, or things or the basis of
the information obtained from a small portion of a large group.

## BASIS FOR DESCRIPTIVE INFERENTIAL

COMPARISON STATISTICS STATISTICS
It is concerned with It focuses on drawing
describing the population conclusions about the
Meaning under study. population, on the basis of
sample analysis and
observation.
Organize, Analyze and Compares, test, and
What it does? Present Data in a predicts data
meaningful way
Form of Final Result Charts, Graphs, and Tables Probability
To describe a situation To explain the chances of
Usage
occurrence of an event
It explains the data, which It attempts to reach the
Function
summarize sample. the population, that extends
beyond the data available.
Variables and Scales of Measurement
Data are facts, or set of information or observations under study.

## Qualitative Data or Quantitative Data

Qualitative Data are categorical data which can assume values that manifest the concept of
attributes such as sex, course, year level, race, religion, etc.

Quantitative Data are numerical data which can be obtained from counting or measuring like
height, weights, ages, scores, temperatures, IQ and other measurable quantities.

## Variable refers to observable characteristics or phenomena of a person or object whereby the

members of the group or set vary or differ from one another.

Examples of it are weight, height, sex, year level, age, IQ achievement test scores.

## Discrete and Continuous Variables

Discrete variables refer to variables that can be obtained through counting. It can assume finite
number of values.
Example: The number of students in a class.

Continuous variables refer to variables that can be obtained through measuring. It can assume
infinite number of values.
Example: Height of a building

## Dependent Variable is a variable which is affected or influenced by another variable. The

variable whose value is predicted.

Independent Variable is one which affects or influences the dependent variable. It is used as a
predictor.

Scales of Measurement

## Measurement is the assignment of symbols or numerals to objects or events according to some

rules. Qualitative data can be converted to quantitative data through measurement.

Nominal Scales is used when we want to distinguish one object from another for identification
purposes. In this level, we can only say that one object is different from one another, but the
amount of difference between them cannot be determined.

## Example: Gender, Nationality and Civil Status

Ordinal Scales do not only classify items. They also give the order or ranks of classes, items,
or objects. When objects are measured in this level, we can say that one is better or greater than
the other. But we cannot tell how much more or how much less of the characteristic one object
has than the other.

## Example: The ranking of contestants in a beauty contest, of siblings in the family, or of

honor students in the class.

Interval Scales is used when numbers are assigned to the items or objects. They measure the
degree of differences between any two classes.

## Example: Scores in an Examination

Ratio Scales are like interval scale. The only difference is that this level always starts from an
absolute zero or true zero point.

## Example: Kelvin Scale, Weight, Height

Sampling Techniques are utilized to test the validity of conclusions or inferences from the sample
to population. It is a procedure used to determine the individuals or members of a sample.

##  Probability Sampling is a sampling technique wherein each member or element of the

population has an equal chance of being selected as members of the sample.

## Simple Random Sampling

A random sample refers to a limited number of individuals chosen from the
population. Every individual has an equal chance of being selected in the sample.
It can be done through lottery or table of numbers.

## Stratified Random Sampling

This is done to avoid biased samples. This sampling technique is done
through dividing the population into categories or strata and getting the members at
random proportionate to each stratum or sub-group.

## Systematic Random Sampling

It refers to a process of selecting every nth element in the population until the
desired sample size is acquired.

Cluster Sampling
This is done to avoid biased samples. This sampling technique is done
through dividing the population into categories or strata and getting the members at
random proportionate to each stratum or sub-group.

Multistage Sampling
This is more complex sampling technique, which includes the following steps:
a. Divide the population into strata
b. Divide each stratum into clusters
c. Draw a sample from each cluster using the simple random sampling
technique

##  Non-Probability Sampling is a sampling technique wherein members of the sample are

drawn from the population based on the judgement of the researchers

Convenience Sampling
It is used because of the convenience it offers to the researcher. For example,
a researcher who wishes to investigate the most popular noontime show may just
interview the respondents through the telephone.

Quota Sampling
It is a method for selecting survey participants that is a non-probabilistic
version of stratified sampling.

Purposive Sampling
A purposive sampling is a non-probability sampling that is selected based on
characteristics of a population and the objective of the study. Purposive sampling is
also known as judgmental, selective, or subjective sampling.

Referral/Snowball Sampling
It is a nonprobability sampling technique where existing study subjects recruit
future subjects from among their acquaintances.
 Other sampling technique

Another method of sampling technique is to find the number of the value size n
with respect to the population size N by applying the Slovin’s formula:

𝑵
𝒏=
𝟏 + 𝑵𝒆𝟐

## where: n is the sample size

N is the population size
e is the margin of error

Sigma Notation
∑(sigma) which refers to total or to take the sum. If 𝑥 is the variable, which represents a set of
measurements, then ∑(sigma) means to get the sum of all measurements from the first to last.

## General Form of Summation Notation

1. Summation of 𝑛 variables:
𝑛

𝑖=1

## Sum of 𝑛 number of observations is represented as,

𝑛

∑ 𝑥𝑖 = 𝑥1 + 𝑥2 + 𝑥3 + ⋯ + 𝑥𝑛
𝑖=1

## Example: Given 𝑥1 = 10, 𝑥2 = 8, 𝑥3 = 21, 𝑥4 = 1, 𝑥5 = 18, 𝑥6 = 4, 𝑥7 = 7

Evaluate
7

∑ 𝑥𝑖 = 𝑥1 + 𝑥2 + 𝑥3 + 𝑥4 + 𝑥5 + 𝑥6 + 𝑥7
𝑖=1
7

∑ 𝑥𝑖 = 10 + 8 + 21 + 1 + 18 + 4 + 7 = 76
𝑖=1

2. Summation of a constant:
𝑛 𝑛

∑ 𝑐𝑖 = 𝑐1 + 𝑐2 + 𝑐3 + ⋯ + 𝑐𝑛 or ∑ 𝑐𝑖 = 𝑛𝑐
𝑖=1 𝑖=1

Example:
4 4

∑ 8 = 8 + 8 + 8 + 8 = 32 or ∑ 8 = 4(8) = 32
𝑖=1 𝑖=1

## 3. Summation of a constant and a variable:

𝑛 𝑛

∑ 𝑐 + 𝑥𝑖 = 𝑛𝑐 + ∑ 𝑥𝑖
𝑖=1 𝑖=1

Example:
4 4

∑ 8 + 𝑦𝑖 = 4(8) + ∑ 𝑦𝑖
𝑖=1 𝑖=1

## 4. Summation of Several Variables

𝑛 𝑛 𝑛

∑ 𝑥𝑖 + 𝑦𝑖 = ∑ 𝑥𝑖 + ∑ 𝑦𝑖
𝑖=1 𝑖=1 𝑖=1

Example:
𝑖 𝑥𝑖 𝑦𝑖
1 3 3
2 6 4
3 1 2
4 7 4
5 7 3

Evaluate
3 3 3

∑ 𝑥𝑖 + 𝑦𝑖 = ∑ 𝑥𝑖 + ∑ 𝑦𝑖
𝑖=1 𝑖=1 𝑖=1

= (3 + 6 + 1) + (3 + 4 + 2)

## 5. Sum of the Squares of the Variables

𝑛

∑ 𝑥𝑖 2 = 𝑥1 2 + 𝑥2 2 + 𝑥3 2 + ⋯ + 𝑥𝑛 2
𝑖=1

## Example: Refer to the table above

4

∑ 𝑥𝑖 2 = 32 + 62 + 12 + 72
𝑖=1

## 6. Square of the Sum of Variables

𝑛 2

(∑ 𝑥𝑖 ) = (𝑥1 + 𝑥2 + 𝑥3 + ⋯ + 𝑥𝑛 )2
𝑖=1

Example:

𝑖 1 2 3 4 5 6
𝑥𝑖 3 4 1 5 2 8

Evaluate

5 2

(∑ 𝑥𝑖 ) = (3 + 4 + 1 + 5 + 2)2
𝑖=1

## 7. Sum of the Product of the Variables

𝑛

∑(𝑥𝑖 )(𝑦𝑖 ) = (𝑥1 )(𝑦1 ) + (𝑥2 )(𝑦2 ) + (𝑥3 )(𝑦3 ) + ⋯ + (𝑥𝑛 )(𝑦𝑛 )
𝑖=1

## Example: Evaluate the following given the table.

𝑖 1 2 3 4
𝑥𝑖 3 1 7 1
𝑦𝑖 1 0 2 3

∑(𝑥𝑖 )(𝑦𝑖 ) = (𝑥1 )(𝑦1 ) + (𝑥2 )(𝑦2 ) + (𝑥3 )(𝑦3 ) + ⋯ + (𝑥𝑛 )(𝑦𝑛 )
𝑖=1

𝑖=1

𝑛

## ∑(𝑐)(𝑥𝑖 ) = (𝑐)(𝑥𝑖 ) + (𝑐)(𝑥𝑖 ) + (𝑐)(𝑥𝑖 ) + ⋯ + (𝑐)(𝑥𝑖 )

𝑖=1

or
𝑛

𝑐 ∑ 𝑥𝑖 = 𝑐(𝑥1 + 𝑥2 + 𝑥3 + ⋯ + 𝑥𝑛 )
𝑖=1

## Example: If 𝑥1 = 6, 𝑥2 = 7, 𝑥3 = 10, 𝑥4 = 1, and 𝑐 = 4, evaluate

4

𝑐 ∑ 𝑥𝑖 = 4(6 + 7 + 10 + 1)
𝑖=1