SCENARIO 2-1
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)stem-and-leaf display.
D)pie chart.

Question

SCENARIO 2-1
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)stem-and-leaf display. 
D)pie chart.

Quizplus · Accepted Answer

The description provided corresponds to a Pareto chart, where the categories (in this case, the number of claims made) are plotted in descending order of frequency.

SCENARIO 2-1 An Insurance Company Evaluates Many Numerical Variables About a Person