TABLE 2-2
An insurance company evaluates many numerical variables about a person before deciding on an appropriate rate for automobile insurance. A representative from a local insurance agency selected a random sample of insured drivers and recorded, X, the number of claims each made in the last 3 years, with the following results.

-A type of vertical bar chart in which the categories are plotted in the descending rank order of the magnitude of their frequencies is called a
A) contingency table.
B) Pareto chart.
C) dot plot.
D) pie chart.

Question

TABLE 2-2
An insurance company evaluates many numerical variables about a person before deciding on an appropriate rate for automobile insurance. A representative from a local insurance agency selected a random sample of insured drivers and recorded, X, the number of claims each made in the last 3 years, with the following results.
 
-A type of vertical bar chart in which the categories are plotted in the descending rank order of the magnitude of their frequencies is called a
A) contingency table. 
B) Pareto chart. 
C) dot plot. 
D) pie chart.

Quizplus · Accepted Answer

The description given matches that of a Pareto chart, which is a type of vertical bar chart where the categories are ordered in descending order of frequency. A contingency table is a table that shows the frequency or relative frequency of each combination of two or more categorical variables. A dot plot is a graph that shows the distribution of a quantitative variable. A pie chart is a graph that shows the relative size of each category as a pie slice.

TABLE 2-2 An Insurance Company Evaluates Many Numerical Variables About a Person