Introduction to Statistics for Accounting Majors

• The document is a textbook called "Introduction to Statistics", dedicated to Accounting Majors.
• The document explains what statistics is and how it is used.
• The contents include several Arabic references and some in English.
• The textbook has 7 chapters on the following topics:
  • Data Collection
  • Data Presentation
  • Measures of Central Tendency
  • Measures of Dispersion
  • Simple Correlation Coefficients
  • Time Series
  • Standard Numbers

Introduction to Statistics

• The general administration for curriculum design and development has taken a positive step with advanced international experiences in building training programs.
• A scientific techniques is needed to simulate the requirements of the labor market in all its specializations.
• A project of preparing national professional standards represents the fundamental building block in constructing training programs.
• This training is oriented to producing trained national cadres that occupies technical, artistic, & professional jobs of the labor market in the Saudi Arabia.

Importance of Statistics

• Describe and understand the relationships between phenomena.
• Make better decisions.
• Deal successfully with changes

Definition of Statistics

• Scientific methods help one to collect, display, present, analyze data.
• Writing a report, predicting a phenomenon, or verifying it ultimately leads to better decision-making.

Course Objectives

• Students will gain the skills to use statistical methods in the field of sales.

Behavioral Goals

• Students should be able to use statistical methods for collecting sales data.
• Students should be able to use statistical methods to present sales data.
• Students should be able to use statistical methods to predict sales.

Statistics

• Its theoretical divisions are an important branch of science and knowledge.
• Studies the quantitative aspect of economic and social phenomena.
• Statistical methods use appropriate methods and principles.
• Considers time and future of phenomenon studies.

Data Collection

• Aims at identifying how to define appropriate sources and methods of collection.
• The student needs to show capability in selecting suitable methods for data collection.
• Students should understand that time allocated is 4 hours for training applications.

Purpose of Collecting Data

• Gathering numerical or descriptive information.
• Focuses on a specific phenomenon from a particular source, limited in time.
• Statistical data is collected to serve a specific purpose.
• Data is acquired to solve a problem.

Sources of Data Collection

• Divided into two sections.
  • Historical Sources.
• Field Sources.

Historical Sources

• Conduct a thorough study sources when gathering data on a problem.
• Data that can be accessed from statistical agencies or related entities in the state.
• Data provides collection effort from the field, saving costs and human impact.

Field Sources

• Researchers need to find data from any historical sources, gather data through field methods.

Data Collection Methods

• Personal interviews
• Correspondence
• Telephone

Personal Interviews

• Data collectors interview each member of the research sample.
• They ask existing questionnaire items while recording the answer in designated locations.
• The method ensures data gathering in the event of widespread illiteracy.
• The compiler can verify the validity of the answers, obtaining the information.

Correspondence (Mail)

• Data collector sends data collection forms via postal mail to individuals in the research sample.
• Instructions on completing the form and the objectives and importance of the study are included.
• Pre-paid envelope is enclosed for the return of the form after its completion.

Data Collection Methods: Two Styles

• Comprehensive enumeration: Collecting data from all of societies group members where the research is used.
  • Usually implemented in large statistical surveys that take place periodically like a population census.
• Samples: Data is collected from some individuals in the community who are selected in a way that represents the community.
  • Results and trends are deduced with these sets of data collection.

Main Concepts

• Society: Overall units and group members as subjects like individuals, things, standards.
  • Must be comprised of several unique traits.
  • Must be bound between limited and unlimited parameters.
• Sample: A small part of the community, where researchers do studies.
  • Drawn from the statistical society to analyze traits and properties while ensuring that representation is fair.
  • Attaining that equality can be done with unbiased sampling, as statistical techniques help determine its composition.

Data Presentation

• Students can define the display and requirements of the necessary qualifications. Time allocated for training needs up to 4 hours.

Tabulating Data

• Data should be presented for easy reading.
• Understand data and communicate, using data using frequency tables graphs.
• Arranging data with variable values into equal segments for most often.
• Aims to summarize the distribution data into a limited number of segments.

Segment Specification

• Selection needs to be done carefully.
• Determine number as this depends on nature, objective, measure accuracy.
• Segment number if appropriate from 5 to 15.
• Consolidate segments that have qualities by assigning data to set with special properties.

Data Alignment

• There are two ways.
  • Ascending.
  • Descending.

Midpoint value formula

• The lowest possible number limit and higher of the grouping.

Histogram

• Consists of numeric samples, can make the information clearer to reader.

Graph Alignment

• Horizontal represents segments.
• Vertical represents iteration or sample.
• This makes information easier to interpret with the help of bar length.

Frequency Polygon

• Depicts segments in the horizontal axis and verticals represent iterations.
• Dots are placed above the segment center.

Ascending Cumulative Curve

• The accumulated iterations can be expressed from the cumulative ascending curve.
• Start placing points on a horizontal axis at the lowest segment limits.
• Indicate no observations with this data.

Statistical Presentation

• There are a number of features to represent the most important.

Cases Data Shows

In single phenomena analysis.

• Simple Column Graph.
• Pie Chart. In case of dual phenomena analysis.
• Dual-Column Graph.
• Separate Column Graph.
• Linear Graphics.

Simple Column Graph

• Group of vertical columns or rectangles.
• Equal base with rise corresponding to data represented.
• Used to show the development of any phenomenon occurs over several years.

Pie Chart

• Consists of a circle which divided different areas
• The segments consist of angles, corners, and centers of areas
• The relationship can be accounted by division of the area based on percentage of 360%.

Numerical Methods

• Calculation that are applied to information that are presented to the circle.

Measures of Central Tendency

• Train students on the appropriate use of central tendency measures.
• In the context of sales representative duties, they are capable of comparing the phenomena.
• Knowledgeable on the application using a sufficient level for comparing.

Central Tendency Measurement Considerations

• Focus to group samples in an average form.
• Can use it to determine data with high reliability and stability to the values.
• Must find balance between its weakness and strengths.
• This all depends data and its study.

Average Value

• Value comes in an automated style which comes with values, usage, and its defect.
• The goal is depending on the sample & its analysis.

Mean: Average Number

• A central measurement.
• Can be applied to stats in professional life.
• Can be used widely for comparison with diverse phenomena, with the following calculation.
• The average amount is total divided values.

Data Measurement

• Calculation for mean measurement
• Has to take the amount of data and number them.

Measure Limitation

• Limitation comes with the samples.
• Must use median instead.

Al-Waseet

• Value is located in the middle.
• Organizes the sample and calculates value in middle with amount of previous values like the other
• Measure in numbers

Al-Enwaal

• Most frequent and often in sample.
• Calculation of mode with a group
• Used to check amount is often times

Dispersion Method

• One of the important standard to measure.
• Measurements can be defined to compare the data and if it has standard.
• Easy to understand.
• Can only compare one group with another.

Deviation of data

• Standard deviation of data
• Data is calculated from the standard rate.
• Standard calculation.
• Amount of data.
• Amount center.
• Can measure the reliability of how important they are to information.

Trendline and trend line variable

• A standard measurement.
• Trendline has variables.
• Data needs to be taken by its standard from numbers.
• Check if the amount is right and accurate

Trend correlation

• Test and look at trends.
• If the data had standards from numbers, test the trend by its core and see if it works.

Statistics: Simple Correlation Coefficients

• To present learners with tools that enable them to study the relationship between two variables.
• Determination of type of that variable depending on intensity of inter connection between variables.
• Students are expected to understand the relationship between variables.

Studying Relationships

• This module emphasizes a limited approach.
  • Relationship, as defined for linear equation has two components.
  • Grade (indicator value in equation).
  • Constant (fixed value in equation).
• These relationships can be:
  • Direct
  • Inverse

Pearson's Correlation Coefficient

• A Pearson correlation coefficient value is determined by dividing variable values.

Linear relationship (r):

• (n * the sum of variables x and y – the sum of x)(sum of y).
• √[(n * the sum of x squared –the sum of x squared) * (n the sum of y squared – the sum of y squared].
• This value will fall between either -1 or +1
  • 1: has positive connection increases from left to fall
  • -1: has connection but declines to fall
  • r: represent linear relationship which can use relationship with other codes
• Need to measure to see how it goes.

Spearman

• Spearman (r) value = 1 – [6 * the sum of squares / n(n2 – 1)]
• variable of two codes must be between values
  • Have connection code of +1 and -1
• If the data has a variable in the scale, you must know how to measure code of that
• Must use average and median calculations

Time series

• Training the students on how to predict future sales using time series.
• Studying the general trend equation and the historical development of a phenomenon.

Requirements

• Student be able to estimate sales forecast based on the proper analysis by studying and analyzing the historical data.
• Applying mathematical operations and the general trend equation and avoid mistakes in the estimation.

What affects the series:

• Most of the time
• Environmental Seasonally

Trend Line

• The behavior of the variable or phenomenon under study during a span of time.
• It points to a steady increase of a census and sometimes it declines to the detriment of unemployment.

Seasonal patterns

• The phenomenon has quarterly variations and trends, and it can impact with different types the gas

Periodic Changes

• Changes are seasonal but long term

Casual Changes

• Accident will create a changes like war

Standard numbers

Students need to identify

• The student through knowing the standard figures uses a change ratio to measure the change in a phenomenon economic phenomenon such as changes in prices national income. - The student guiding of the change ratio and what means this ratio.
  • Time is 4 hours for training.
  • Applications attached at the end of the chapter.

Basic Guidelines for Understanding Standard Numbers

• Statistical information using measure, analyze to see the change to the trend.

Kinds of number measurements:

• Information about the law
• The first number of law
• Statistics for measure has been used to compare between samples, can use it to compare it to general number