Course Title: Business Statistics
Area of Study: Foundation
Credit Hour: 3
Course Objective: The objective of this course is to make the students learn about the fundamentals of
statistics and application of statistical tools and techniques for decision making
Unit I: Introduction L. H. 2
Origin, Meaning, Definitions, Uses, Functions, Scope and Limitation of Statistics, Types and Sources of Data,
Methods of collecting primary and secondary data, precautions in the use of secondary data, problems of data
Unit II: Classifications and Presentation of Data L. H. 4
Need, Meaning, Objectives and Types of classification; construction of frequency distribution; Presentation of
data: Tabular, Diagrammatic and Graphic Presentation.
Unit III: Measures of Central Tendency and Dispersion L.H. 10
Introduction, Types of Averages and their computations: Mean, Median, Mode (excluding grouping method for
finding mode), Weighted mean, Geometric mean, Harmonic mean, Criteria for good measure of central
tendency, General limitations of an average.
Measures of Dispersion: Concept, Types, Absolute and Relative measures, Range, Quartile deviation, Mean
Deviation, Standard deviation, Coefficient of variation, Lorenz curve.
Unit IV: Measures of Skewness, Kurtosis and Moments L. H. 5
Meaning, Objectives and Measurement of Skewness:- Karl Pearson’s and Bowley’s, Kurtosis and its
measurement, Methods of Moments
Unit V: Correlation and Regression Analysis L. H. 7
Introduction, Types of Correlation, Methods of studying Correlation:- Simple correlation, Scatter Diagram, Karl
Pearson’s Correlation Coefficient including bi-variate frequency distribution, Probable error, Interpretation of
results, rank correlation.
Simple Regression equations, Properties and its coefficient
Unit VI: Index Number L. H. 6
Introduction, Uses of Index Numbers, Problems in the Construction of Index Number, Types of Index Number,
Methods of constructing Index Number: Unweighted Index Numbers, Weighted Index Numbers- Weighted
Aggregative Index Numbers (Laspeyres, Paasches, Fishers Ideal Methods), Weighted Average of Relatives,
Test of consistency: Time Reversal and Factor Reversal,
Cost of Living Index Numbers, Methods of constructing cost of living index numbers.
Unit VII: Time Series Analysis L. H. 8
Meaning, Utility and Component of Time Series, Measurement of Trend: Graphic Method, Semi-Average
Method, Moving Average Method, Least Square method; Measurement of Seasonal Variation: Method of
Simple Average (monthly, quarterly), Ratio to Moving Average Method.
Unit VIII: Probability L. H. 6
Introduction, Basic terminologies used in Probability, Approach to Probability: Classical, Relative Frequency
and Subjective Approach, Permutation and Combination, Additive and Multiplicative laws of Probability for
L. V. Richard, Statistics for Management: An Introduction, Tata McGraw-Hill Publishing Company Limited,
B C Bajarajarya, Business Statistics, M K Publication, Kathmandu, Nepal
S C Gupta, Fundamentals of Statistics, Himalaya Publishing House, New Delhi, India
Azaya B. Sthapit, Rashindra P. Yadav and Shankar P. Khanal, Business Statistic, Asmita Publication,