# Question: This histogram shows the average annual premium in dollars for

This histogram shows the average annual premium (in dollars) for homeowner’s insurance paid in the 50 states and District of Columbia.19

(a) Which holds more states, the interval from $600 to $700 or the interval from $700 to $800?

(b) Estimate the mean and standard deviation of the rates from the histogram. Be sure to attach the appropriate units to your estimates.

(c) Which do you think is larger, the mean or median? Why?

(d) Suggest an explanation for the multiple modes that are evident in the histogram. If the intervals in the histogram were wider, do you think there would still be two modes?

(e) Is the state with the highest rates slightly larger than the others or an outlier? Which state do you think earns this honor?

(f) Is the SD of these data closer to $100 or $500? (Use what you know about the relationship between the SD and the concentration of the data around the mean rather than trying to calculate the SD from the counts.)

(a) Which holds more states, the interval from $600 to $700 or the interval from $700 to $800?

(b) Estimate the mean and standard deviation of the rates from the histogram. Be sure to attach the appropriate units to your estimates.

(c) Which do you think is larger, the mean or median? Why?

(d) Suggest an explanation for the multiple modes that are evident in the histogram. If the intervals in the histogram were wider, do you think there would still be two modes?

(e) Is the state with the highest rates slightly larger than the others or an outlier? Which state do you think earns this honor?

(f) Is the SD of these data closer to $100 or $500? (Use what you know about the relationship between the SD and the concentration of the data around the mean rather than trying to calculate the SD from the counts.)

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