Define arithmetic mean and discuss its any two merits and demerits.
Answers
Merits of Mean : 1) Arithmetic mean rigidly defined by Algebraic Formula. 2) It is easy to calculate and simple to understand. 3) It is based on all observations of the given data. 4) It is capable of being treated mathematically hence it is widely used in statistical analysis.
Merits of Mean :
1) Arithmetic mean rigidly defined by Algebraic Formula.
2) It is easy to calculate and simple to understand.
3) It is based on all observations of the given data.
4) It is capable of being treated mathematically hence it is widely used in statistical analysis.
Demerits of Arithmetic mean :
1) It can neither be determined by inspection or by graphical location.
2) Arithmetic mean can not be computed for qualitative data like data on intelligence honesty and smoking habit etc.
3) It is too much affected by extreme observations and hence it is not adequately represent data consisting of some extreme point.
4) Arithmetic mean can not be computed when class intervals have open ends.