Following is a time series graph for monthly closing price for the Dow Jones Industrial Average (beginning March 2003). Which of the following statements is true?
A) A histogram would provide a good representation of these data.
B) The data show an upward trend since late 2008.
C) The data show a 50% drop in the Dow Jones Average by the end of 2008.
D) Both A and C.
E) Both B and C.

Question

Following is a time series graph for monthly closing price for the Dow Jones Industrial Average (beginning March 2003). Which of the following statements is true? 
A) A histogram would provide a good representation of these data. 
B) The data show an upward trend since late 2008. 
C) The data show a 50% drop in the Dow Jones Average by the end of 2008. 
D) Both A and C. 
E) Both B and C.

Quizplus · Accepted Answer

The data show an upward trend since late 2008 and also show a 50% drop in the Dow Jones Average by the end of 2008. A histogram would not be a good representation of these data as it is a continuous data set and not discrete categories.

Following Is a Time Series Graph for Monthly Closing Price