MGMT 1050 Study Guide - Midterm Guide: Pie Chart, Bar Chart, Level Of Measurement
Document Summary
The third type of data is ordinal. Ordinal data appear to be nominal but the difference is that the order of their values has meaning. The difference between nominal and ordinal types of data is that the order of values of the latter indicate a higher rating. Consequently, when assigning codes to the values, we should maintain the order of the values. Poor = 1, fair = 2, good = 3, very good = 4, excellent = 5. Since the only constraint that we impose on out choice of codes is that the order must be maintained (number from least to greatest), we can use any set of codes that are in order. For example, we can also assign the following codes: The use of any code that preserves the order of the data will produce the exact same amount. Thus, it is not the magnitude of the values that is important, it"s their order.
