Answered

(08.03)Jasper is using the following data samples to make a claim about the house values in his neighborhood:


House Value

A $150,000

B $175,000

C $200,000

D $167,000

E $2,500,000



Based on the data, should Jasper use the mean or the median to make an inference about the house values in his neighborhood?

Verified Answer :

SmarticalParticals

He should use the median value to make an inference. The answer $2,500,000 is an outlier and will skew the data if you take the mean.  It will make the mean significantly higher.

Answer:

Median.

Step-by-step explanation:

We have been given the house values in Jasper's neighborhood as:

House Value

A             $150,000

B         $175,000

C        $200,000

D         $167,000

E     $2,500,000

We can see the value of house E is very high from other houses in Jasper's neighborhood. The value of house E will make the mean house value above the center of the data as House E is an outlier for our given data.

Since the median of a data set with an outlier is not affected by the value of outlier, therefore, Jasper should use the median to make an inference about the house values in his neighborhood.

Related Questions