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:

Our question is: Which measure of central tendency would be most useful in each of the following instances?

Thus our aim is to conclude which option is better to which situation.

Hence:

1. In the first case, the modal would be of most value to the manager since he wants to know what size sells more.
2. In the second case, we can conclude that the median would income in prospective sales area since we want to know from which region the purchases are most madden.
3. In the third case, I would consider the mean because is something that varies in small quantities or in big quantities, then mean would be better in this case.

Hope this answer helps you!