In a market study, what does a frequency distribution of sale prices show?
Correct Answer
B) How many sales fall into each price bracket
Why this is correct: A frequency distribution groups sale prices into brackets, showing how many sales fall into each bracket, revealing market concentration and distribution shape. Why the other choices are wrong: "The order in which the transactions closed" describes a time series, not frequency distribution. "The mean price of every bracket combined" is not shown; frequency counts sales, not calculates means. "The relationship between price and living area" requires a scatterplot or regression, not a frequency distribution. Exam tip: Frequency distributions show counts per price bracket; useful for identifying market segments and outliers.
Why This Is the Correct Answer
Why this is correct: A frequency distribution groups sale prices into brackets, showing how many sales fall into each bracket, revealing market concentration and distribution shape. Why the other choices are wrong: "The order in which the transactions closed" describes a time series, not frequency distribution. "The mean price of every bracket combined" is not shown; frequency counts sales, not calculates means. "The relationship between price and living area" requires a scatterplot or regression, not a frequency distribution. Exam tip: Frequency distributions show counts per price bracket; useful for identifying market segments and outliers.
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