Home › BAF (Bachelor of Accounting & Finance) › Business Statistics › Descriptive Statistics › The 34th percentile of housing prices in a town …
The 34th percentile of housing prices in a town is 240,000, and that is the most you can afford. What share of the houses can you buy?
AYou can afford 66 percent of them
BYou can afford 34 percent of them
CYou can afford 24 percent of them
DYou can afford 50 percent of them
Answer & Solution
Correct answer: B. You can afford 34 percent of them
1. The 34th percentile has 34 percent of the prices at or below it.
2. Those are exactly the houses within your budget.
3. So you can afford 34 percent of the houses and the remaining 66 percent are too expensive.
4. Quoting 66 percent reads the upper tail, which is the share you cannot buy.
_Source: OpenStax Introductory Business Statistics (CC BY 4.0), Ch 2 "Descriptive Statistics", section 2.2 Measures of the Location of the Data_
Related questions
The median differs from the mean in that the median does not have to be:Quartiles and percentiles are together described as the common measures of:The median of that set, 4, 5, 6, 6, 6, 7, 7, 7, 7, 8, is:For that same set of ten values, the median is the average of which two ordered values?For the data 4, 5, 6, 6, 6, 7, 7, 7, 7, 8, the most frequent value is:A data set whose values sit closely near the mean will have a standard deviation that is:The variation of data values around the centre is captured by the:A quick graph that shows the exact values while revealing the pattern is a: