In the news Find an article in a newspaper, a magazine, or the
Internet that discusses an “average.”
a) Does the article discuss the W’s for the data? b) What are the
units of the variable? c) Is the average used the median or the
mean? How can
you tell? d) Is the choice of median or mean appropriate for
the
situation? Explain.
Read the article about ACC share price below:
https://www.nasdaq.com/article/acc-crosses-above-average-analyst-target-cm1174124
The article talks about the avg share price and it's relation with the valuations. The article revolves around
"When a stock reaches the target an analyst has set, the analyst logically has two ways to react: downgrade on valuation, or, re-adjust their target price to a higher level."
a)Yes the article talks about When the stock price crossed ,
What is the movement of the price and
Who predicted the price.
b) Units here is $/share . Since the analyst expectation was 48.71$/share which was being crossed by the market and made to 48.83$/share
c)The average used above is the mean since how they have come to the valuation of avg?
So., Avg Share Price = Total Market Capital/No of shares (Which is a pure avg)
d)Yes the choice of mean is appropriate as we won't be ab;e to calculate the median from total Market Cap and number of shares since individual Market Cap / Share holder doesn't exist and hence the Mean is the only number we can end up in this situation.
Hope the above answer has helped you in understanding the problem. Please upvote the ans if it has really helped you. Good Luck!!
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