For Data to Be Worth Its Cost, an Appropriate Relationship

question 68

True/False

For data to be worth its cost, an appropriate relationship must exist between the cost of data and its value.

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Definitions:

Chebyshev's Theorem

A statistical theorem that gives an inequality for assessing the probability that a random variable differs from its mean.

Empirical Rules

A statistical rule stating that for a normal distribution, nearly all data will fall within three standard deviations of the mean.

Interquartile Range

A measure of variability, calculated as the difference between the third (75th percentile) and first quartile (25th percentile), that indicates the middle 50% of the data.

Midrange

The statistical measure calculated as the mean of the highest and lowest values in a data set, providing a simple estimation of the data’s central tendency.