Information Industry Using the data from Exercise 57, consider the total revenue per employee. Revenue is in millions of dollars, and the count of employees is given in the data table.
(a) Why are there fewer than 428 observations available for making a histogram?
(b) Find the median, mean, and standard deviation of the revenue per employee. Be sure to include units with these.
(c) Describe the shape of the histogram. Would the Empirical Rule be useful for describing how observations cluster near the mean of this ratio?
(d) Which company has the largest revenue per employee? Is it the revenue or the number of employees that makes the ratio so large for this company?
(e) A start-up firm has 15 employees. What revenue does the company need to achieve in order to be comparable to other firms in this industry?
Exercise 57
Information Industry This data table includes several characteristics of 428 companies classified as being in the information industry in 2010. One column gives the total revenue of the company, in millions of dollars.
(a) Find the median, mean, and standard deviation of the total revenue of these companies. What units do these summary statistics share?
(b) Describe the shape of the histogram and boxplot. What does the White Space Rule have to say about the histogram?
(c) Do the data have any extreme outliers? Identify the company if there’s an extreme outlier.
(d) What do these graphs of the distribution of net sales tell you about this industry? Is the industry dominated by a few companies, or is there a level playing field with many comparable rivals?