Question

Complete frequency tables and histograms to analyze grouped data Question Bethany is interested in investing some money in different stocks. There are several stocks available, each with their own risk and rate of return. After some research, she records the expected returns (in percents, rounded to one decimal place) for some stock she is interested in. These values are given below. Construct a histogram for these values using 5 classes. (Use the black dots to adjust the edges of the bars if necessary.) 8.1, 10.1, 13.5, 9.8, 10.2, 5.2, 7.8, 18.3, 12.9, 13.8, 13.4, 11.5, 7.9, 10.8 Provide your answer below: stocks ch 5

Answer 1

We need to first the class width for the Histogram

Here the highest expected return = 18.3

Lowest expected return = 5.2

Range = Highest expected return - Lowest expected return

= 18.3 - 5.2

= 13.1

Now we divide the Range by the number of classes to get the class width

Class width = 13.1 / 5

= 2.62

Usually the class width is rounded up to the nearest one decimal place. So the class width will be 2.7

The classes will be

5.2 - 7.89

7.9 - 10.69

10.6 - 13.29

13.3 - 15.99

16 - 18.69

Now the frequency table will look like

Class	Frequency
5.2 - 7.89	2
7.9 - 10.69	5
10.6 - 13.29	3
13.3 - 15.99	3
16 - 18.69	1

The histogram looks as below

In your graph, you can take the lower limit of the classes

The lower limits are 5.2, 7.9, 10.6, 13,3, 16

Histogram 6 5 st Frequency 3 N 1 0 5.2-7.89 7.9-10.69 10.6 - 13.29 13.3 - 15.99 16-18.69 Expected Returns