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Statistics
By Rafael Mulero
October 14, 2015
QNT 310
Robert Grauer

Statistics
Statistics can be defined as the science of data that involves organizing, classifying, collecting, interpreting, summarizing, and analyzing numerical information. The types of statistics consist of descriptive and inferential statistics. Descriptive statistics is the use of graphical and numerical methods that locate patterns in data, by doing this it summarizes the data collected, and presents the information in a simplified form. With inferential statistics it uses the sample data to make predictions, decisions, estimates or other generalizations about a larger collection of data. There are other two classifications of statistics and they are qualitative and quantitative. When measurements cannot be measured on a regular numerical scale this is referred to as qualitative data. Qualitative data can only be classified into one of the groups of categories. When data is recorded on a naturally occurring numerical scale is quantitative data. Statistics plays a major role in business decision making. Many companies use statistics to determine whether they’re going to keep a product or service on the market. Also, when making potential decisions when trying to introduce a new product to the market. Companies don’t only use statistics for product or services, they also use it for determining the demographics in the area. They critically assess the data collected and try to generate or produce the best possible outcome for their company based on the data. Some potential problems are selection bias, nonresponse bias, and measurement error. Selection bias is classified as a subset of experimental components in the population is excluded so that the components have no chance of being selected. When conducting research or a study and the researchers are unable to obtain the data on all the

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