Define the term mode. What are its merits and demerits?

Mode is a measure of central tendency of statistical series. Mode is the most frequently occurring value in a series. It is typical value around which of the item stand to cluster. It is the representative value of a series around which there is maximum concentration.

Merits of Mode : The followings are the merits of mode :

(i) Simpler and popular : Mode is very simple measure of central tendency and a glance of the series is enough to locate the model value.

(ii) Less effects of extreme marginal values : It is less affected by extreme and marginal values as compared to mean values.

(iii) Best representation: Mode is the best representation of the series because it occurs most frequently in the series.

(iv) Knowledge of all frequencies not essential: It is sufficient to know the item with highest frequency in the distribution.

(v) Practical utility : Mode is practically useful.

(vi) Graphic determination : Mode can be determined graphically also. This makes it very pimple and easy to understand.

Demerits of Mode :

(i) Uncertain and unclear : It is uncertain and unclear measure of central tendency. An addition of item with highest frequency in the series changes the entire complexion of the series.

(ii) Not based on the observation : It is not based on all observations because it represents item of highest frequency only.

(iii) Misleading : Because it is not based on all the observations of the series.

(iv) Ignores extreme values : Mode does not take into account the extreme values and is not suitable for a series where extreme values are also to be given importance.

(v) Affected by magnitude of class interval : It is affected by magnitude of class interval and changes with the change of magnitude of class interval.