How is the mean of a set of numbers defined in statistics?

Master Arizona State University's ECN221 Business Statistics Exam with our resources. Utilize flashcards and multiple-choice questions. Understand every concept with hints and explanations to excel in your exam!

In statistics, the mean of a set of numbers is defined as the average value, which is obtained by summing all the individual values in the dataset and then dividing that total by the number of values. This process provides a measure of central tendency that reflects the overall distribution of the data points. The mean is particularly useful because it takes into account all values, providing a comprehensive view of the dataset, making it suitable for various statistical analyses.

For example, if you have a set of scores: 4, 5, 8, 3, and 6, you would add these scores together (4 + 5 + 8 + 3 + 6 = 26) and then divide by the number of scores (5), resulting in a mean score of 5.2. This calculation is foundational in statistics, used in various contexts, from summarizing data to performing more complex statistical tests.

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