Question

The following is a list of P/E ratios (current stock price divided by company's earnings per share) for 22 companies.57, 53, 50, 46, 42, 35, 31, 56, 52, 49, 45, 41, 37, 34, 44, 44, 40, 40, 36, 36, 36,Draw the histogram for these data using an initial class boundary of 30.5, an ending class boundary of 60.5, and 5 classes of equal width. Note that you can add or remove classes from the figure.

Answer 1

We have the following data:

57, 53, 50, 46, 42, 35, 31, 56, 52, 49, 45, 41, 37, 34, 44, 44, 40, 40, 36, 36, 36, 33

We can sort the data like this:

31 33 34 35 36 36 36 37 40 40 41 42 44 44 45 46 49 50 52 53 56 57

Minimum = 30.5

Maximum = 60.5

Class interval = (60.5-30.5)/5 = 6

Then the intervals are:

Class interval Frecuency

30.5- 36.5 7

36.5- 42.5 5

42.5-48.5 4

48.5 -54.5 4

54.5 -60.5 2

_________________

Total 22

Then the histogram would be: