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Merits and Demerits of Arithmetic Mean
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Basic Statistics
Merits and Demerits of Arithmetic Mean
Merits and Demerits of Arithmetic Mean
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Merits
:
It is rigidly defined.
It is easy to calculate and simple to follow.
It is based on all the abservations.
It is determined for almost every kind of data.
It is finite and not indefinite.
It is readily put to algebraic treatment.
It is least affected by fluctuations of sampling.
Demerits
:
The arithmetic mean is highly affected by extreme values.
It cannot average the ratios and precentages properly.
It is not an approprite average for highly skewed distributions.
It cannot be computed accurately if any item is missing.
The mean sometimes does not coincide with any of the abserved value.
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