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Module 8 · L2 of 12 ~25 min MS12-8 ⚡ +50 XP available

Measures of Central Tendency

Five people in a room have incomes of $40,000; $45,000; $50,000; $55,000; and $1,000,000. The mean is $238,000 — a figure that suggests everyone is wealthy, when only one person is. The median of $50,000 tells a very different and more accurate story. Knowing when to use mean, median or mode is one of the most important skills in statistical literacy.

Today's hook — House prices in a suburb: $600K, $620K, $650K, $680K, $700K, $750K, $2,500K. Which measure better represents what a typical home costs — the mean or the median?
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Worksheets

Practise this lesson

Three printable worksheets that build from foundations to mastery — or build your own from any module’s questions.

01
Recall — your gut answer first
+5 XP warm-up

House prices in a suburb: $600K, $620K, $650K, $680K, $700K, $750K, $2,500K.

Before reading on — estimate the mean and median. Which better represents what a typical home costs? Write your gut feeling.

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02
Key ideas for this lesson
reference

Three measures summarise where the centre of a data set lies. Each tells a different story.

Mean $\bar{x} = \dfrac{\sum x}{n}$ — the arithmetic average. Affected by outliers.

Median — the middle value when data is ordered. Not affected by outliers. Better for skewed data.

Mode — the most frequently occurring value. The only measure that works for categorical data.

Mean from frequency table: $\bar{x} = \dfrac{\sum f \times x}{\sum f}$

MEAN FORMULA x-bar = sum(x) / n n = number of values Outliers pull mean away from centre Median is resistant to outliers
Key insight: The mean is affected by outliers; the median is not. Use median for skewed data, mean for symmetric data.
Outlier effect on mean
One very large or small value can dramatically shift the mean, making it misleading for typical values.
Median for even $n$
With an even number of values, the median = average of the two middle values after ordering.
Mode for categories
Mode is the only measure of centre that works for categorical data (e.g., most popular shoe size or colour).
03
What you will master
Know

Key facts

  • Definitions of mean, median, mode
  • Frequency table calculations
  • Effect of outliers on each measure
Understand

Concepts

  • Why different measures suit different data
  • How outliers distort the mean
  • When each measure is most appropriate
Can do

Skills

  • Calculate all three measures
  • Find mean from frequency tables
  • Choose the best measure for a context
04
Key terms
Mean ($\bar{x}$)The sum of all values divided by the number of values. Sensitive to outliers.
MedianThe middle value when data is ordered. Not affected by outliers.
ModeThe value that occurs most frequently. Works for categorical data.
OutlierA value far from the rest of the data that can distort the mean.
Skewed distributionA data set with a long tail on one side. Right-skewed: mean > median. Left-skewed: mean < median.
Frequency tableA table listing each value (x) and how often it occurs (f). Mean = $\sum fx \div \sum f$.
05
The mean — arithmetic average
core concept

The mean is the sum of all values divided by the number of values:

$$\bar{x} = \frac{\sum x}{n}$$

Example: Test scores: 72, 85, 90, 65, 88

$$\bar{x} = \frac{72 + 85 + 90 + 65 + 88}{5} = \frac{400}{5} = 80$$

From a frequency table use $\bar{x} = \dfrac{\sum f \times x}{\sum f}$:

Score ($x$) Frequency ($f$) $f \times x$
703210
805400
902180
Total10790

$$\bar{x} = \frac{790}{10} = 79$$

Warning: The mean is the only measure of centre affected by outliers. A single extreme value can make the mean very misleading for typical data.
What to write in your book
  • Mean = $\sum x \div n$ for raw data.
  • Mean from frequency table = $\sum fx \div \sum f$.
  • Outliers pull the mean toward them — use median when outliers are present.

Quick check: Scores are 4, 5, 5, 6, 6, 6, 7. What is the mean?

06
Median and mode
core concept

Median — the middle value when data is ordered from smallest to largest.

Odd number of values: the median is the exact middle value.

Example: 12, 15, 18, 22, 25 → Median = 18

Even number of values: the median is the average of the two middle values.

Example: 12, 15, 18, 22 → Median = $\dfrac{15 + 18}{2} = 16.5$

Key advantage of median: Not affected by outliers. A salary of $1,000,000 in a dataset of $40K–$60K earners shifts the mean enormously but leaves the median unchanged.

Mode — the value that appears most frequently.

Example: 3, 5, 5, 7, 8, 5, 9 → Mode = 5

A data set can be:

  • Unimodal: one mode (most common).
  • Bimodal: two modes.
  • Multimodal: more than two modes.
  • No mode: all values appear equally often.

The mode is the only measure of centre that applies to categorical data.

What to write in your book
  • Median: order the data, find the middle. For even $n$: average the two middle values.
  • Mode: most frequent value. Only measure that works for categorical data.
  • Median is resistant to outliers; mean is not.

True or false: The median of the data set 10, 12, 14, 16 is 13.

PROBLEM 1 · MEAN, MEDIAN, MODE FROM RAW DATA

Daily sales ($): 450, 520, 480, 600, 500, 2000, 550, 510, 490, 530. Find the mean, median and mode. Which best represents typical daily sales?

1
Mean $= (450+520+480+600+500+2000+550+510+490+530) \div 10 = 6630 \div 10 = \$663$
Sum all values, divide by $n = 10$
PROBLEM 2 · MEAN FROM A FREQUENCY TABLE

Test marks: 60 scored by 4 students, 70 by 8, 75 by 10, 80 by 6, 90 by 2. Calculate the mean mark.

1
$\sum f = 4+8+10+6+2 = 30$ students total
Find total frequency
08
Outliers and skewed distributions
core concept

An outlier is a value far from the rest of the data. Outliers pull the mean toward them but do not affect the median.

Example — Salaries: $40K, $45K, $50K, $55K, $200K

Mean = $\dfrac{40+45+50+55+200}{5} = \$78K$ (misleading). Median = $50K (representative).

Skewed distributions:

  • Right-skewed (positive skew): Long tail to the right. Mean > Median. Example: income distribution, house prices.
  • Left-skewed (negative skew): Long tail to the left. Mean < Median.
  • Symmetric: Mean ≈ Median ≈ Mode. Bell-shaped curves.
Rule of thumb: If data is right-skewed (most common in economics — incomes, prices), use the median. This is why house price reports and income statistics almost always quote the median, not the mean.
What to write in your book
  • Right-skewed: mean > median (tail goes right).
  • Left-skewed: mean < median (tail goes left).
  • Symmetric: mean ≈ median ≈ mode.
  • Use median for skewed data or when outliers are present.

Fill the gap: In a right-skewed distribution, the mean is the median.

Trap 01
Forgetting to order data before finding the median
The median is the middle value of ordered data. Finding the middle position of unordered data gives a completely wrong answer.
Trap 02
Using the wrong formula for even $n$
For an even number of values, the median is the average of the two middle values — not just one of them. Example: for 8 values, average the 4th and 5th.
Trap 03
Choosing mean when outliers are present
If a data set contains an obvious outlier, the mean will be misleading and the median is almost always the better measure to report.
What to write in your book
  • Always order data before finding the median.
  • Even $n$: median = average of the two middle values.
  • Outlier present? Use median, not mean.

Match each situation to the best measure of centre:

1

Find mean, median and mode for: 5, 7, 8, 8, 10, 12, 15. Also find mean from the frequency table: score 4 (freq 2), score 5 (freq 5), score 6 (freq 3).

2

A company reports a mean salary of $120K. (a) Why might the median be more informative for job seekers? (b) Give an example where mode is the most useful measure. (c) Explain why "average house price" in the news usually means median, not mean.

Top 3 list: Give THREE real-world contexts where choosing the wrong measure of centre (mean vs median vs mode) would lead to misleading conclusions. For each, state which measure was misused and why.

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Revisit your thinking

Mean $= (600+620+650+680+700+750+2500) \div 7 = 6500 \div 7 \approx \$928.6K$. Median $= \$680K$ (the 4th of 7 values). The mean is heavily inflated by the $2.5M outlier and suggests the suburb is far more expensive than it really is for most buyers. The median of $680K is the better measure — half the houses are cheaper and half are more expensive, giving a fair picture of what a typical house costs.

What changed in your understanding? What did you estimate correctly? What surprised you?

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01
Multiple choice
+5 XP per correct · +25 XP all-correct

Pick your answer, then rate your confidence — that tells the system what to drill next.

Q1. The data set is: 14, 18, 22, 22, 25, 30, 35, 80. What is the median?

Q2. A frequency table shows: score 4 (freq 2), score 5 (freq 5), score 6 (freq 3). What is the mean score?

Q3. A company CEO earns $2,000,000 and 99 employees earn $50,000 each. The mean salary is approximately:

Q4. In a right-skewed distribution, which statement is correct?

Q5. Which measure of centre is most appropriate when reporting the most popular dress size stocked by a retailer?

02
Short answer
ApplyBand 42 marks

SA 1. (a) Calculate mean, median and mode for: 14, 18, 22, 22, 25, 30, 35, 80. (b) Which measure best represents this data? (c) Calculate the mean after removing the outlier. How much does it change? (2 marks)

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ApplyBand 42 marks

SA 2. A frequency table shows test marks: 60 (4 students), 70 (8), 75 (10), 80 (6), 90 (2). (a) Calculate the mean mark. (b) Find the median mark. (c) Why might the median be a fairer measure to report to parents? (2 marks)

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AnalyseBand 53 marks

SA 3. A company's CEO earns $2M, while 99 employees earn $50K each. (a) Calculate the mean and median salary. (b) Which would the CEO quote in a press release? Which would the union quote? Explain. (c) A politician claims "average wages have risen 5%" using the mean, but the median rose only 1%. Explain how this discrepancy can occur and what it reveals about income distribution. (3 marks)

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Comprehensive answers (click to reveal)

MC 1 — C: Ordered data: 14, 18, 22, 22, 25, 30, 35, 80. $n = 8$ (even): median $= (22+25) \div 2 = 23.5$.

MC 2 — B: $\sum fx = 4(2)+5(5)+6(3) = 8+25+18 = 51$. $\sum f = 10$. Mean $= 51 \div 10 = 5.1$.

MC 3 — A: Mean $= (2\,000\,000 + 99 \times 50\,000) \div 100 = (2\,000\,000 + 4\,950\,000) \div 100 = \$69\,500$.

MC 4 — D: In a right-skewed distribution the long tail pulls the mean to the right of the median: mean > median.

MC 5 — C: Dress size is categorical. Mode (most frequent value) is the appropriate measure.

SA 1 (2 marks): (a) Mean $= 266 \div 8 = 33.25$; Median $= 23.5$; Mode $= 22$ [0.5]. (b) Median (23.5) or mode (22); mean is inflated by outlier 80 [0.5]. (c) Without 80: mean $= 186 \div 7 \approx 26.57$; change $= 33.25 - 26.57 = 6.68$ [1].

SA 2 (2 marks): (a) $\sum fx = 240+560+750+480+180 = 2210$; $\bar{x} = 2210 \div 30 \approx 73.67$ [0.5]. (b) Median position $= 15.5$th value; cumulative frequencies: 4, 12, 22 — 15.5th falls in 75 group; Median $= 75$ [0.5]. (c) Mean is pulled down by the 4 students scoring 60; median shows that half the class scored 75 or above [1].

SA 3 (3 marks): (a) Mean $= \$69\,500$; Median $= \$50\,000$ [1]. (b) CEO quotes mean ($69.5K) to appear generous; union quotes median ($50K) to show most workers earn much less [1]. (c) High earners received large raises, pulling mean up, while typical workers saw minimal change; reveals right-skewed income distribution where gains concentrate at the top [1].

Drill 1: Mean $= 65 \div 7 \approx 9.29$; Median $= 8$; Mode $= 8$. Frequency table mean $= 51 \div 10 = 5.1$.

Drill 2: (a) CEO's high salary inflates mean; median better represents what most employees earn. (b) Most popular clothing/shoe size. (c) House prices are right-skewed by mansions; median is not distorted by these outliers.

01
Boss battle · The Average Avenger
earn bronze · silver · gold

Five timed questions on mean, median, mode, outliers and skewed distributions. Beat the boss to bank a tier — gold (90% + speed), silver (75%), or bronze (50%). Replays welcome.

⚔ Enter the arena
02
Science Jump · platform challenge

Climb platforms by answering questions on central tendency. Pool: lesson 2.

Mark lesson as complete

Tick when you've finished the practice and review.