Business Statistics

What is Statistics?

In general, “numerical facts or information collected about a person, a group of persons, an institution, a province etc… is known as statistics”.
e.g. The statistics of Javed Miandad, the statistics of an automobile company etc…

“Statistics is defined as the plural of statistic.”
Statistic: Any numerical value such as mean, median, mode, variance etc… calculated from sample data is known as statistic.

As a subject, Statistics is defined as “the collection of methods used to collect, summarize and analyze the information to draw conclusions and make decisions.”

Branches of Statistics

Statistical methods are divided into two broad categories:

1. Descriptive Statistics:
It is branch of statistics which consist of methods of summarizing and presenting data in such a way that main features of the data become apparent.
Frequency Distribution, charts, measures of location, measures of dispersion etc…

2. Inferential Statistics:
The branch of statistics which consist of methods of analyzing the data and draw conclusions from it. The process of hypothesis testing is part of infrential statistics.