Question

Below is a list of 100 house prices in a large metropolitan area taken in 2015. Answer the following

questions regarding these house prices. Refer to the rubric for how many marks are assigned to each

part of the question.

a) Is the data categorical or quantitative?

b) Is the data ordinal, nominal, interval, or ratio?

c) Is the data cross-sectional or time-series?

d) What type of graph would be best to depict this data?

e) Create the graph that you have chosen in part d) and format it appropriately.

f) Calculate the mean and the median for the data. Which statistic best describes the centre of the data?

Justify your answer.

g) Based on your answer from part f), calculate the appropriate statistic that best describes the spread of

the data.

h) Based on your graph, write a sentence or two that describe what is happening with the house prices. House Prices $360,500 $399,800 $676,700 $379,100 $399,900 $610,400 $528,500 $521,700 $351,700 $776,600 $326,900 $790,500 $588,400 $532,900 $772,300 $731,500 $900,000 $371,500 $380,400 $344,400 $796,000 $961,800 $350,000 $688,300 $485,400 $594,600 $854,100 $547,700 $751,700 $683,500 $562,300 $484,500 $797,600 $853,500 $498,500 $430,700 $417,900 $649,300 $841,200 $311,100 $754,800 $394,000 $473,400 $405,000 $392,500 $428,800 $987,300 $347,000 $648,500 $866,800 $549,400 $438,200 $615,800 $893,500 $534,400 $449,200 $913,500 $519,100 $332,600 $622,000 $402,700 $699,400 $336,800 $811,000 $321,700 $408,000 $816,300 $674,200 $399,600 $457,900 $682,900 $999,500 $404,500 $855,700 $562,100 $634,500 $466,700 $447,900 $335,700 $301,400 $849,000 $488,300 $971,600 $773,300 $684,600 $815,700 $885,300 $822,000 $471,800 $955,100 $370,900 $334,400 $686,600 $774,500 $458,600 $519,100 $329,700 $330,800 $502,400 $342,900

Answer 1

a) As we are dealing with numbers, the data is Quantitative

b) The data corresponds to measurement on a ratio scale

c) The scenario concerns all values in the year 2015 and hence it is cross-sectional data

d) Histogram best represents the data

e)

40 30 25 20 15 10 [301400, 451400] (451400, 601400] (601400, 751400] (751400, 901400] (901400, 1051400]

f) Mean= 582543

Median= 533650

Mean is a better measure of this data as this captures average price across 100 cities

g) Standard Deviation= 200204.03

Coefficient of Variance= 34.36%

h)

• The housing prices mostly fall in the [301400,451400] and [751400,901400] ranges
• As expected the lease number of cities have housing prices in the range [901400,1051400]