Question

Which measure of central tendency would be most useful in each of the following instances? (a) The production manager for a manufacturer of glass jars, who is concerned about the proper jar size to manufacture, has sample data on jar sizes ordered by customers. Would the mean, median, or modal jar size be of most value to the manager? (b) The sales manager for a quality furniture manufacturer is interested in selecting the regions most likely to purchase his firm’s products. Would he be most interested in the mean or median family income in prospective sales areas? (c) A security analyst is interested in describing the daily market price change of the common stock of a manufacturing company. Only rarely does the market price of the stock change by more than one point, but occasionally the price will change by as many as four points in one day. Should the security analyst describe the daily price change of the stock in terms of the mean, median, or

Answer 1

Answer:

Step-by-step explanation:

Since we want to know which measure of central tendency would be most useful in each instances, our aim is to look to the options we have and start by cancelling the ones that we know for sure that are completely wrong.

Then we can already say that in the first one the most value to the manager is modal, because is the number that sells more that interests.

In the second one, I would chose the median, because sometimes a mean can not be so representative, and is only needed one extreme value to change the mean radically.

In the third one, I chose mean, since is a very miscellaneous data.