Define geometric mean and state its advantages. - Vidyadip

Question

Define geometric mean and state its advantages.

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Answer

If n observations $x _1, x _2, \ldots . x _{ n }$ of the data are positive and non-zero. then nth root of the product of these observations is called geometric mean. It is denoted by $G$. Its formula is as follows :
$G=\sqrt[n]{x 1, x 2, \ldots . x n}$
Advantages of Geometric mean :

It is rigidly defined.
it is based on all observations of the data.
It is a stable measure.
It is suitable for algebric process.
It balances the effect of too large or too small observations of the data and its value is less Chan mean.

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