Question

Here are the prices of five new skateboards, in dollars: 75, 82, 100, 120, 140.

The standard deviation is about $27.
If a sixth skateboard is added to the sample that has a price of $450, what
happens to the standard deviation?​

Answer 1

The standard deviation INCREASES

Explanation:

Standard deviation is used to show how the points of the data deviate from the mean. The formulae for deriving standard deviation is attached. As seen from the formulae, the greater the variance of the data from the mean, the higher the Standard Deviation.

The mean of the given data points is $103.4. $450 is way off from this mean meaning that there is a large variance in this data point.