(a) The frequency distribution shows the range of prices of a brand of a car sold by a dealer and the corresponding quantity demanded. Price (N1,000,000.00 ...
Question 1 Report
(a) The frequency distribution shows the range of prices of a brand of a car sold by a dealer and the corresponding quantity demanded.
| Price (N1,000,000.00 |
1.0 - 1.9 | 2.0 - 2.9 | 3.0 - 3.9 | 4.0 - 4.9 | 5.0 - 5.9 |
| Number of Vehicles | 23 | 48 | 107 | 90 | 32 |
(b) Represent the information in a histogram and use the histogram to determine the most preferred selling price for the brand of car.
Answer Details
(a) Class boundaries
| Price (₦ million) | Class boundaries (₦ million) | Number of vehicles |
|---|---|---|
| 1.0 – 1.9 | 0.95 – 1.95 | 23 |
| 2.0 – 2.9 | 1.95 – 2.95 | 48 |
| 3.0 – 3.9 | 2.95 – 3.95 | 107 |
| 4.0 – 4.9 | 3.95 – 4.95 | 90 |
| 5.0 – 5.9 | 4.95 – 5.95 | 32 |
(b) Histogram
The bars have equal width of ₦1 million and are drawn contiguously, using the class boundaries on the horizontal axis.
The tallest bar is for the class ₦3.0 million to ₦3.9 million. Drawing the two modal lines across this bar and reading their point of intersection on the price axis gives approximately
\[2.95+0.75=3.70.\]
Therefore, the most preferred selling price is
\[\boxed{₦3,700,000.00}\]
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