Part 1: Read the data..
# reading external data and storing into a dataframe called "airline.df"
cc.df <- read.csv("DefaultData.csv")
Part 2: Column names
# Display the column names
colnames(cc.df)
## [1] "default" "student" "balance" "income"
Part 3: Data Dimensions
# Display the Data Dimensions
dim(cc.df)
## [1] 10000 4
Part 4: Mean of income and balance
# Display the mean of income and balance
mean(cc.df$income)
## [1] 33516.98
mean(cc.df$balance)
## [1] 835.3749
#Mean income is 33516 while mean balance is 835. It appears that the loan exposure for the bank is sufficiently covered by income
Part 5: Standard deviation of income and balance
# Display the standard deviation of income and balance
sd(cc.df$income)
## [1] 13336.64
sd(cc.df$balance)
## [1] 483.715
#Standard deviation for both income and balance is large (30% to 50% of mean) implying that the income and balance varies in a broad range and thus mean will not yield a good conclusion