Chapter 2.1, Problem 10P

Critical Thinking The following data represent annual salaries, in thousands of dollars, for employees of a small company. Notice that the data have been sorted in increasing order.

1. (a) Make a histogram using the class boundaries 53.5, 99.5, 145.5, 191.5, 237.5, 283.5.
2. (b) Look at the last data value. Does it appear to be an outlier? Could this be the owner’s salary?
3. (c) Eliminate the high salary of 280 thousand dollars. Make a new histogram using the class boundaries 53.5, 62.5, 71.5, 80.5, 89.5, 98.5. Does this histogram reflect the salary distribution of most of the employees better than the histogram in part (a)?