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Mean definition

When compared to other measures like median and mode, it can provide additional context about a distribution.

Beginner

Mean is one of several measures of central tendency, representing the center of a distribution. For example, the mean of 10% and 20%, is 15%. It is calculated by taking the sum of the returns divided by the number of observations. Because it is a simple average it can be skewed by outliers.

Synonym: average


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Quiz

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Relative to other measures of central tendency, mean is less susceptible to skewed results due to outliers? | True or False

False

In a Sentence

Ann:  Why does Kay want to change the word mean  to average in our presentation deck?
Jim:  She thinks it sounds too mean.

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Keywords:
mean
average
central tendency
distribution
statistics
stocks
modeling
weighted mean
robust
outlier