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What does the measure of dispersion indicate about a data set?

  1. How many data points are present

  2. The spread of data around the central value

  3. The size of the largest number

  4. The average of all values

The correct answer is: The spread of data around the central value

The measure of dispersion is a statistical term that refers to how spread out the values in a data set are around a central value, such as the mean or median. It provides insight into the variability of the data, indicating whether the data points are clustered closely around the central value or if they are more spread out. Common measures of dispersion include the range, variance, and standard deviation. A greater dispersion means a wider spread of values, which can affect how one interprets the data set overall. The other choices do not accurately capture what the measure of dispersion conveys. Knowing how many data points are present, for instance, tells us about the size of the sample, not its variability. Similarly, the size of the largest number addresses only a single data point and does not provide insights into the overall distribution. Lastly, calculating the average of all values represents a measure of central tendency rather than dispersion.