Understanding Outliers and their Impact on the Mean

In data analysis, an outlier is a value that significantly differs from other data points in a data set. When calculating the mean of a data set, outliers can have a substantial impact, as the mean is highly sensitive to extreme values. An outlier can skew the mean, pulling it towards the direction of the outlier. In cases where the data set contains outliers, it's important to consider using alternative measures of central tendency, such as the median, which is less affected by extreme values.

Understanding outliers and their impact is crucial for accurate data analysis and interpretation.