An employer wants to determine if the salaries in one department seem fair for all employees, or if there is a great disparity. He finds the average of the salaries in that department and then calculates the variance, and then the standard deviation. The employer finds that the standard deviation is slightly higher than he expected, so he examines the data further and finds that while most employees fall within a similar pay bracket, three loyal employees who have been in the department for 20 years or more, far longer than the others, are making far more due to their longevity with the company. Doing the analysis helped the employer to understand the range of salaries of the people in the department.

Now that you have been provided with a practical scenario of connecting standard deviation as a concept topic to real life business situation, select any two statistical concept topics of your choice (other than standard deviation) and compose a similar real world scenario.