Chapter 10 • Unit V

Exercise 10.1: Measures of Dispersion

Comprehensive guide and practice questions for CBSE Class 11 Applied Mathematics curriculum (2026-27).

Comprehensive Concepts & Principles: Measures of Dispersion

Dispersion refers to the extent to which data values in a distribution are scattered, spread out, or clustered around a central value (mean or median). Two distributions may share identical arithmetic averages while exhibiting radically different risks, reliabilities, or volatilities. In CBSE Class 11 Applied Mathematics, dispersion provides the quantitative foundation for risk modeling, quality control, and business analytics.

Absolute vs. Relative Measures of Dispersion:
  • Absolute Measures: Expressed in the same physical units as the original data observations (e.g., ₹, kg, cm). Examples include Range, Quartile Deviation, Mean Deviation, and Standard Deviation. They cannot be used to compare two series having different units or vastly different means.
  • Relative Measures (Coefficients of Dispersion): Pure, unitless ratios or percentages derived by dividing an absolute measure by an appropriate central value. Examples include Coefficient of Range, Coefficient of Quartile Deviation, and Coefficient of Variation. They enable direct comparison of variability across completely different datasets.

Mathematical Framework: Range & Quartile Deviation

1. The Range

The difference between the maximum and minimum observations:

• $\text{Range} = L - S$
• $\text{Coefficient of Range} = \frac{L - S}{L + S}$
Where $L$ is largest value, $S$ is smallest value.

2. Quartile Deviation (QD)

Semi-interquartile range measuring the spread of the middle 50% of data:

• $\text{Interquartile Range (IQR)} = Q_3 - Q_1$
• $\text{Quartile Deviation (QD)} = \frac{Q_3 - Q_1}{2}$
• $\text{Coefficient of QD} = \frac{Q_3 - Q_1}{Q_3 + Q_1}$

Worked Benchmark Examples

Example 1 (Range & Coefficient of Range):

The closing prices (in ₹) of a stock over 8 consecutive trading sessions are:
$$142, \quad 158, \quad 135, \quad 170, \quad 162, \quad 139, \quad 185, \quad 149$$ Compute the Range and the Coefficient of Range.

Show Step-by-Step Solution

• Identify the extremes:
- Largest value $L = 185$
- Smallest value $S = 135$
• Absolute Range: $\text{Range} = L - S = 185 - 135 = \mathbf{₹50}$.
• Coefficient of Range: $$\text{Coeff of Range} = \frac{L - S}{L + S} = \frac{185 - 135}{185 + 135} = \frac{50}{320} = \mathbf{0.15625} \quad (\text{or } 15.63\%)$$
Answer: The Range is ₹50 and the Coefficient of Range is 0.156.

Example 2 (Quartile Deviation of Individual Series):

Find the Quartile Deviation and Coefficient of Quartile Deviation for the following daily sales figures (in thousands of rupees):
$$22, \quad 26, \quad 14, \quad 30, \quad 18, \quad 11, \quad 35, \quad 41, \quad 16$$

Show Step-by-Step Solution

• Arrange data in ascending order ($N = 9$ observations):
$$11, \quad 14, \quad 16, \quad 18, \quad 22, \quad 26, \quad 30, \quad 35, \quad 41$$
• Position of $Q_1 = \frac{N+1}{4}^{\text{th}} = \frac{10}{4} = 2.5^{\text{th}} \text{ term}$.
$Q_1 = 2^{\text{nd}} \text{ term} + 0.5(3^{\text{rd}} - 2^{\text{nd}}) = 14 + 0.5(16 - 14) = \mathbf{15}$.
• Position of $Q_3 = 3\left(\frac{N+1}{4}\right)^{\text{th}} = 7.5^{\text{th}} \text{ term}$.
$Q_3 = 7^{\text{th}} \text{ term} + 0.5(8^{\text{th}} - 7^{\text{th}}) = 30 + 0.5(35 - 30) = \mathbf{32.5}$.
• Quartile Deviation: $$QD = \frac{Q_3 - Q_1}{2} = \frac{32.5 - 15}{2} = \frac{17.5}{2} = \mathbf{8.75} \text{ (thousand ₹)}$$ • Coefficient of Quartile Deviation: $$\text{Coeff of QD} = \frac{Q_3 - Q_1}{Q_3 + Q_1} = \frac{32.5 - 15}{32.5 + 15} = \frac{17.5}{47.5} = \mathbf{0.3684}$$

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