An outlier is a part of the dataset that differs significantly from the rest.
Given the data:
[tex]7,\text{ 58, 62, 65, 68, 72, 74, 76, 86}[/tex]The outlier by observation is 7
If the outlier were removed, would the mean increase or decrease?
Mean with the outlier :
[tex]\begin{gathered} \text{Mean = }\frac{7\text{ + 58 + 62 + 65 + 68 + 72 + 74+ 76+ 86}}{9} \\ =\frac{568}{9} \\ =\text{ 63.1} \end{gathered}[/tex]Mean without the outlier:
[tex]\begin{gathered} \text{Mean = }\frac{58\text{ + 62 + 65 + 68 + 72 + 74 + 76 + 86}}{8} \\ =\text{ }\frac{561}{8} \\ =\text{ 70.125} \end{gathered}[/tex]Hence, if the outlier were removed, the mean would increase