Appendix 2.1 Tabular and Graphical Methods Using Excel

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1 Appendix 2.1 Tabular and Graphical Methods Using Excel 1 Appendix 2.1 Tabular and Graphical Methods Using Excel The instructions in this section begin by describing the entry of data into an Excel spreadsheet. Alternatively, the data may be downloaded from this book s website. Please refer to Appendix 1.1 for further information about entering data, saving data, and printing results in Excel. Construct a frequency distribution of Jeep sales: Enter the Jeep sales data (C Commander; G Grand Cherokee; L Liberty; W Wrangler) into column A with label Jeep Model in cell A1. We obtain the frequency distribution by forming what is called a PivotTable. This is done as follows: Select Insert : PivotTable In the Create PivotTable dialog box, click Select a table or range. Enter the range of the data to be analyzed into the Table/Range Here we have entered the range of the Jeep sales data A1.A252 that is, the entries in rows 1 through 252 in column A. The easiest way to do this is to click in the Table/Range window and to then drag from cell A1 through cell A252 with the mouse. Select New Worksheet to have the PivotTable output displayed in a new worksheet. Click OK in the Create PivotTable dialog box In the PivotTable Field List task pane, drag the label Jeep Model and drop it into the Row Labels area. Also drag the label Jeep Model and drop it into the a Values area. When this is done, the label will automatically change to Count of Jeep Model and the PivotTable will be displayed in the new worksheet. To calculate relative frequencies and percent frequencies of Jeep sales, enter the cell formula B4/B\$8 into cell C4 and copy this cell formula down through all of the rows in the PivotTable (that is, through cell C8) to obtain a relative frequency for each row and the total relative frequency of Copy the cells containing the relative frequencies into cells D4 through D8, select them, right-click on them, and format the cells to represent percentages to the decimal place accuracy you desire.

2 2 Chapter 2 Descriptive Statistics After creating a tabular frequency distribution by using a PivotTable, it is easy to create bar charts and pie charts. Construct a frequency bar chart of Jeep sales: Enter the frequency distribution of Jeep sales as shown in the screen with the various model identifiers in column A (with label Jeep Model) and with the corresponding frequencies in column B (with label Frequency). Select the entire data set using the mouse. Select Insert : Bar : All Chart Types In the Insert Chart dialog box, select Column from the chart type list on the left, select Clustered Column from the gallery of charts on the right, and click OK. The bar chart will be displayed in a graphics As demonstrated in Appendix 1.1, move the bar chart to a new worksheet before editing. In the new worksheet, the chart can be edited by selecting the Layout tab. By clicking on the Labels, Axes, Background, Analysis, and Properties groups, many of the chart characteristics can be edited, data labels (the numbers above the bars that give the bar heights) can be inserted, and so forth. Alternatively, the chart can be edited by right-clicking on various portions of the chart and by using the pop-up menus that are displayed. To construct a relative frequency or percentage frequency bar chart, simply replace the frequencies in the spreadsheet by their corresponding relative frequencies or percentage frequencies and follow the above instructions for constructing a frequency bar chart.

4 4 Chapter 2 Descriptive Statistics The frequency distribution will be displayed in the new worksheet and the histogram will be displayed in a graphics Notice that Excel defines what it calls bins when constructing the histogram. The bins define the automatic classes for the histogram. The bins that are automatically defined by Excel are often cumbersome the bins in this example are certainly inconvenient for display purposes! Although one might be tempted to simply round the bin values, we have found that the rounded bin values can produce an unacceptable histogram with unequal class lengths (whether this happens depends on the particular bin values in a given situation). To obtain more acceptable results, we suggest that new bin values be defined that are roughly based on the automatic bin values. We can do this as follows. First, we note that the smallest bin value is 20 and that this bin value is expressed using the same decimal place accuracy as the original data (recall that the bottle design ratings are all whole numbers). Remembering that Excel obtains a cell frequency by counting the number of measurements that are less than or equal to the upper class boundary and greater than the lower class boundary, the first class contains bottle design ratings less than or equal to 20. Based on the author s experience, the first automatic bin value given by Excel is expressed to the same decimal place accuracy as the data being analyzed. However, if the smallest bin value were to be expressed using more decimal places than the original data, then we suggest rounding it down to the decimal place accuracy of the original data being analyzed. Frankly, the authors are not sure that this would ever need to be done it was not necessary in any of the examples we have tried. Next, find the class length of the Excel automatic classes and round it to a convenient value. For the bottle design ratings, using the first and second bin values in the screen, the class length is which equals To obtain more convenient classes, we will round this value to 2. Starting at the first automatic bin value of 20, we now construct classes having length equal to 2. This gives us new bin values of 20, 22, 24, 26, and so on. We suggest continuing to define new bin values until a class containing the largest measurement in the data is found. Here, the largest bottle design rating is 35. Therefore, the last bin value is 36, which says that the last class will contain ratings greater than 34 and less than or equal to 36 that is, the ratings 35 and 36. We suggest constructing classes in this way unless one or more measurements are unusually large compared to the rest of the data we might call these unusually large measurements outliers. We will discuss outliers more thoroughly in Chapter 2 (and in later chapters). For now, if we (subjectively) believe that one or more outliers exist, we suggest placing these measurements in the more class and placing a histogram bar over this class having the same class length as the other bars. In such a situation, we must recognize that the Excel histogram will not be technically correct because the area of the bar (or rectangle) above the more class will not necessarily equal the relative proportion of measurements in the class. Nevertheless given the way Excel constructs histogram classes the approach we suggest seems reasonable. In the bottle design situation, the largest rating of 35 is not unusually large and, therefore, the more class will not contain any measurements. To construct the revised histogram: Open a new worksheet, copy the bottle design ratings into column A and enter the new bin values into column B (with label Bin) as shown. Select Data : Data Analysis : Histogram Click OK in the Data Analysis dialog box. In the Histogram dialog box, select the range of the ratings data A1.A61 into the Input Range Click in the Bin Range window and enter the range of the bin values B1.B10. Place a checkmark in the Labels checkbox. Under Output options, select New Worksheet Ply and enter a name for the new worksheet here Histogram 2. Place a checkmark in the Chart Output checkbox. Click OK in the Histogram dialog box.

5 Appendix 2.1 Tabular and Graphical Methods Using Excel 5 The revised frequency distribution will be displayed in the new worksheet and the histogram will be displayed in a graphics Click in the graphics window and (as demonstrated in Appendix 1.1) move the histogram to a new worksheet for editing. The histogram will be displayed in the new chart sheet in a much larger format that makes it easier to carry out editing. To remove the gaps between the histogram bars: Right click on one of the histogram bars and select Format Data Series from the pop-up Set the gap width to zero by moving the gap width slider to No Gap and click Close in the Format Data Series dialog box. By selecting the Chart Tools Layout tab, the histogram can be edited in many ways. This can also be done by right clicking on various portions of the histogram and by making desired pop-up menu selections. To obtain data labels (the numbers on the tops of the bars that indicate the bar heights), right click on one of the histogram bars and select Add data labels from the pop-up menu. Constructing a frequency histogram of bottle design ratings from summarized data: Enter the midpoints of the frequency distribution classes into column A with label Midpoint and enter the class frequencies into column B with label Frequency. Use the mouse to select the cell range that contains the frequencies (here, cells B2 through B10). Select Insert : Column : 2-D Column (Clustered Column)

6 6 Chapter 2 Descriptive Statistics Right-click on the chart that is displayed and click on Select Data in the pop-up menu. In the Select Data Source dialog box, click on the Edit button in the Horizontal (Category) Axis Labels In the Axis Labels dialog box, use the mouse to enter the cell range that contains the midpoints (here, A2.A10) into the Axis label range Click OK in the Axis Labels dialog box. Click OK in the Select Data Source dialog box. Move the chart that appears to a chart sheet, remove the gaps between the bars as previously shown, and edit the chart as desired. Relative frequency and percent frequency histograms would be constructed in the same way with the class midpoints in column A of the Excel spreadsheet and with the relative or percent frequencies in column B. We now describe how to construct a frequency polygon from summarized data. Note that, if the data are not summarized, first use the Histogram option in the Analysis ToolPak to develop a summarized frequency distribution. Enter the class midpoints and class frequencies as shown previously for summarized data. Use the mouse to select the cell range that contains the frequencies. Select Insert : Line : Line with markers Right-click on the chart that is displayed and click on Select Data in the pop-up menu. In the Select Data Source dialog box, click on the Edit button in the Horizontal (Category) Axis Labels In the Axis Labels dialog box, use the mouse to enter the cell range that contains the midpoints into the Axis label range Click OK in the Axis Labels dialog box. Click OK in the Select Data Source dialog box. Move the chart that appears to a chart sheet, and edit the chart as desired.

7 Appendix 2.1 Tabular and Graphical Methods Using Excel 7 To construct a percent frequency ogive for the bottle design rating distribution: Follow the instructions for constructing a histogram by using the Analysis ToolPak with the following changes: In the Histogram dialog box, place a checkmark in the Cumulative Percentage checkbox. After moving the histogram to a chart sheet, right-click on any histogram bar. Select Format Data Series from the pop-up menu. In the Format Data Series dialog box, (1) select Fill from the list of Series Options and select No fill from the list of Fill options; (2) select Border Color from the list of Series Options and select No line from the list of Border Color options; (3) Click Close. Click on the chart to remove the histogram bars. Construct a cross-tabulation table of fund type versus level of client satisfaction: Enter the customer satisfaction data fund types in column A with label Fund Type and satisfaction ratings in column B with label Satisfaction Rating. Select Insert : PivotTable In the Create PivotTable dialog box, click Select a table or range. By dragging with the mouse, enter the range of the data to be analyzed into the Table/Range Here we have entered the range of the client satisfaction data A1.B101. Select the New Worksheet option to place the PivotTable in a new worksheet. Click OK in the Create PivotTable dialog box. In the PivotTable Field List task pane, drag the label Fund Type and drop it into the Row Labels area. Also drag the label Fund Type and drop it into the a Values area. When this is done, the label will automatically change to Count of Fund Type. Drag the label Satisfaction Rating into the Column Labels area.

8 8 Chapter 2 Descriptive Statistics The PivotTable will be created and placed in a new worksheet. Now right-click inside the PivotTable and select PivotTable Options from the pop-up menu. In the PivotTable Options dialog box, select the Totals & Filters tab and make sure that a checkmark has been placed in each of the Show grand totals for rows and the Show grand totals for columns checkboxes. Select the Layout & Format tab, place a checkmark in the For empty cells show checkbox and enter 0 (the number zero) into its corresponding (For the customer satisfaction data, none of the cell frequencies equal zero, but, in general, this setting should be made to prevent empty cells from being left blank in the cross-tabulation table.) To change the order of the column labels from the default alphabetical ordering (High, Low, Medium) to the more logical ordering of High, Medium, Low, right-click on LOW, select Move from the pop-up menu, and select Move LOW to End. The cross-tabulation table is now complete. Construct a scatter plot of sales volume versus advertising expenditure: Enter the advertising and sales data into columns A and B advertising expenditures in column A with label Ad Exp and sales values in column B with label Sales Vol. Note: The variable to be graphed on the horizontal axis must be in the first column (that is, the leftmost column) and the variable to be graphed on the vertical axis must be in the second column (that is, the rightmost column). Click in the range of data to be graphed, or select the entire range of the data to be graphed. Select Insert : Scatter : Scatter with only Markers The scatter plot will be displayed in a graphics Move the plot to a chart sheet and edit appropriately.

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