Business Statistics

Chapter 4 | Measures of Dispersion 119

Relative measures of disper-

sion are pure unitless numbers

and are generally called coef-

ficient of dispersion.

Range is defined as the dif-

ference between the smallest

and the greatest values in a

distribution.

1. Absolute measures of dispersion: Absolute measures of dispersion are presented in the same unit

as the unit of distribution. For example, if units are rupees, metres, years, etc., then

the measure of dispersion will be presented in terms of rupees, metres, and years, respectively.

Absolute measures of dispersion are useful in comparing two distributions where the unit of

data remains ...