MAT093

GROUP PROJECT REPORT

TITLE
HOUSEHOLD INCOME IN SENTUL, KUALA LUMPUR
LECTURER NAME: MADAM NORAINI AHMAD

NO. NAME STUDENT ID

1 MUHAMMAD JIBRAEL BIN MOHAMAD HISHAM 2021209636

2 NURAIN NATASYA BINTI NORAZNI 2021608624

3 NURSYAHIRAH IWANI BINTI MOHAMMAD 2021601834

FADZIR

4 NUR SYAKIRAH BINTI KAMARUDIN 2021200208

5 NURELYYANA BINTI SABAN 2021200136

 ACKNOWLEDGEMENT

In the name of Allah, the Most Gracious and the Most Merciful. First of all, all praises and
gratitude to Almighty Allah SWT for helping us complete our assignment, making ease of
everything, and giving us strength until we managed to send this mini-project paperwork in
time. We experienced such a lot during this process, not only from the tutorial aspect but
also from the aspect of personality. Next, we would like to thank and express our deep
gratitude to Madam Noraini Ahmad for teaching us and constantly helping us by giving us
guidance and consulting us in finishing our assignment. We knew that we would not be
able to finish this project without her guidance. Besides, we felt very thankful because we
have team members that help each other with their energy, understanding, and always keep
supporting mentally and physically. Our team members consist of 5 students which are
Jibrael, Syakirah, Syahirah, Elyyana and Ain. In the discussion, we have exchanged a lot
of ideas and there is a little bit of disagreement among ourselves. In the end, we managed
to decide the best for our group as we are being tolerant of each other. Everyone is also
willing to spend their own time to help each other to make sure this task is completed in
time.

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 TABLE OF CONTENTS
PAGE

ACKNOWLEDGEMENTS 2

TABLE OF CONTENTS 3

LIST OF TABLES 4

LIST OF FIGURES 4

Introduction 5

Background of study 6

Objective of study 7

Description of data 8

Description of variables 8

Method and analysis 9

Analysis and discussion 10

Conclusion 20

Recommendation 20

Bibliography 21

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 LIST OF TABLES

Page
Table 1: Description of Variables 8
Table 2: Method of Data Analysis 9
Table 3: Sentul Communities’ Income 12
Table 4: Table of Frequency Distribution 14
Table 5: Cumulative frequency distribution of Sentul communities income 16

LIST OF FIGURES

Page
Figure 1: Bar chart of home ownership of people in Sentul, Kuala Lumpur 10
Figure 2: Pie chart of the marital status of people in Sentul,Kuala Lumpur 11
Figure 3: Pie Chart of occupation of people in Sentul, Kuala Lumpur 11
Figure 4: Histogram of household income per month in Sentul, KL 13
Figure 5 : Less than ogive of Sentul communities 17
Figure 6: Skewed distribution of household income in Sentul, KL 19

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INTRODUCTION

Poverty is about not having enough money to meet basic needs including food,
clothing and shelter. However, poverty is more, much more than just not having enough
money. The World Bank Organization describes poverty in this way: ... Poverty is not
having a job, it is fear for the future, living one day at a time. Poverty is defined as
dynamic reflecting its ever-changing nature. The concept of absolute poverty was
introduced by Rowntree (1951a, 1951b, 1995) and used until the early 1970s. The
numerous proclamations of the aspirations had been made by Malaysia to achieve country
status by 2020. However, there are several issues that had to be resolved while these
aspirations are laudable.

New pockets of poverty continue to arise and elude current measures and solutions
which dampen Malaysia's attempt at becoming a first world nation by 2020. Close
attention needs to be paid to income distribution as progress towards poverty reduction is
marred unless there are improvements in income distribution alongside poverty reduction
efforts.

This study is regarded to be a significant endeavour that will aid policymakers and
decision-makers in their efforts to decrease urban poverty. This study was conducted to
inspect the income of the people in Sentul, Kuala Lumpur. Based on the data we obtained,
low income people can lead to poverty if there were no action taken to prevent this thing
from happening. We want to see that Sustainable Development Goals (SDG) is realized
among all people in Sentul, Kuala Lumpur.

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BACKGROUND OF STUDY

Based on the rapid economic and population growth in Kuala Lumpur city in the
past few years, many issues had caused the urbanization and it seems that it is unusual and
specific only to Kuala Lumpur. The causes are such as its strategic location, topography,
history and the manner in which developments have been planned and
implemented.Various studies shows that the Malaysian population is increasingly
urbanized but it is found that several factors have contribute to the increase in urban
low-income and poor communities since 1980s despite the urbanization that taking place.
Rural-to-urban and urban-to-urban migrations and economic crisis are among the
significant factors that contribute to such a result.

The growth of Kuala Lumpur itself has been largely driven by the rapid increase in
the population. Poverty and economic hardships in rural areas has caused many people to
emigrate from rural areas to urban areas with the hope to improve their living. Because the
urban economy is supported by many sectors like manufacturing, construction, trade,
commerce, finance and transportation has allowed the urban population to enjoy higher
incomes and better lifestyles when compared to the rural population. During the Seventh
Malaysia Plan (1996- 2000), the average monthly urban household income has
increased by 14.6% per annum while compared to the average monthly rural household
income that has increased only by 13.0%, lower than the urban household. Reflecting this
result, urban population increased by 3.8% per annum during the Seventh Malaysia Plan,
against the total population growth by 2.1% of rural population (Md. Wahid Murad, Md.
Mahadi Hasan,Md. Saiful Islam, Md. Mahmudul Alam 2014).

However, the most discussed issue that followed due to the rapid urbanization in
the Kuala Lumpur city is the squatter settlements. In Kuala Lumpur, squatter settlements
were first observed during the economic depression of the late twenties and early thirties
(Simon and Khoo 1976). By 1970, the number of squatters in Kuala Lumpur was estimated

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to be about 103,370. The number has subsequently increased to 243,154 in 1978
(Abdullah 1987). Following the efforts by the City Hall of Kuala Lumpur to resettle the
squatters in low-cost flats, their number decreased to 220,055 in 1982, 156,151 in 1985,
and to 129,129 in 1998 representing a substantial percentage (about 17 percent) of the
total population of Kuala Lumpur City (Bureau of Consultancy 1998). Although the
number of squatters in Kuala Lumpur decreases, the number is on the increase in other
areas of the Klang Valley such as Petaling Jaya, Gombak, Hulu Langat, and Klang.

However, this study is thought to be an important effort, which may enable

policy and decision makers in their attempt to decrease urban poverty. It is believed that
by determining and analyzing the socio-economic indicators affecting the profile of the
urban low income and poor communities, who are usually deprived of the basic
amenities of life, could help alleviate urban poverty.

OBJECTIVES OF STUDY

1. To describe the demographic of household income in Sentul, Kuala Lumpur,

Malaysia.
2. To analyze the central tendency of the household income in Sentul, Kuala Lumpur,
Malaysia.
3. To analyze the measure of dispersion of the household income in Sentul, Kuala
Lumpur, Malaysia.

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DESCRIPTION OF DATA

Population : Low income and poor communities in Sentul, Kuala Lumpur

Sample : 100 people with low income
Type of data : Secondary data
Data source : (PDF) Socio-economic profile of the low income and poor communities
in Kuala Lumpur city, Malaysia

DESCRIPTION OF VARIABLES

Table 1: Description of Variables

Variable Type of variable

Home ownership tenure Qualitative

Marital status Qualitative

Occupation Qualitative

Household income per month Quantitative

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METHOD OF DATA ANALYSIS

Table 2: Method of Analysis

Objectives Variables Data Description

1. To describe the Home ownership tenure Bar chart

demographic of Marital status Pie chart
household income Occupation Pie chart
in Sentul, Kuala
Lumpur, Malaysia.

1. To analyze the Household income per Frequency distribution,

central tendency of month histogram, ogive, mean,
the household mode and median
income in Sentul,
Kuala Lumpur,
Malaysia.

1. To analyze the Household income per Skewed distribution

measure of month Variance and standard
dispersion of the deviation.
household income
in Sentul, Kuala
Lumpur, Malaysia.

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ANALYSIS AND DISCUSSION

1. Home Ownership Tenure

Figure 1: Bar chart of home ownership of people in Sentul, Kuala Lumpur

Interpretation: From 100 respondents in Sentul, the majority of the respondents live in a
rented home that recorded 51 respondents while the least majority of respondents live in
others that recorded 7 respondents.

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2. Marital status

Figure 2 : Pie chart of the marital status of people in Sentul,Kuala Lumpur

Interpretation: From 100 respondents, the majority of the respondents’ marriage status is
married with 83 respondents. Meanwhile, the least majority respondents are widow and
divorce that recorded 3 respondents each.

3. Occupation of people in Sentul,KL

Figure 3 : Pie Chart of occupation of people in Sentul, Kuala Lumpur

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Interpretation : From 100 respondents, the majority of respondents' are workers in private
sector that recorded 35 respondents. Meanwhile the least majority respondents; occupation
are doing private business and retired that recorded 12 respondents for both categories.

4. Income
Table 3: Sentul Communities’ Income

Total Monthly Income Sentul

(RM) Communities

1 - 500 3

501 - 1000 17

1001 - 1500 6

1501 - 2000 19

2001 - 2500 18

2501 - 3000 12

3001 - 3500 8

3501 - 4000 6

4001 - 4500 3

4501 - 5000 2

5001 - 5500 2

5501 - 6000 4

Total 100

Explanation : From the table above, we can know that the class interval is 500 by
counting (upper boundary; 1000.5 - lower boundary; 500.5). From the table also, we can
identify the first and the last class which is 1-500 for the first class and 5501-6000 for the
last class.

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Figure 4 : Histogram of household income per month in Sentul, KL

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 Table 4 : Table of Frequency Distribution

Class Lower Upper Frequency, Midpoint, 2 2 2

𝑓 𝑥 𝑓𝑥 𝑓𝑥
boundary boundary 𝑓 𝑥

1 - 500 0.5 500.5 3 250.5 9 62 750.25 751.5 188 250.75

501 - 1000 500.5 1000.5 17 750.5 298 563 250.25 12 758.5 9 575 254.25

1001 - 1500 1000.5 1500.5 6 1250.5 36 1 563 750.25 7 503.0 9 382 501.50

1501 - 2000 1500.5 2000.5 19 1750.5 361 3 064 250.25 33 259.5 58 220 754.75

2001 - 2500 2000.5 2500.5 18 2250.5 324 5 064 750.25 40 509.0 91 165 504.50

2501 - 3000 2500.5 3000.5 12 2750.5 144 7 565 250.25 33 006.0 90 783 003.00

3001 - 3500 3000.5 3500.5 8 3250.5 64 10 565 750.25 26 004.0 84 526 002.00

3501 - 4000 3500.5 4000.5 6 3750.5 36 14 066 250.25 22503.0 84 397 501.50

4001 - 4500 4000.5 4500.5 3 4250.5 9 18 066 750.25 12 751.5 54 200 250.75

4501 - 5000 4500.5 5000.5 2 4750.5 4 22 567 250.25 9 501.0 45 134 500.50

5001 - 5500 5000.5 5500.5 2 5250.5 4 27 567 750.25 10501.0 55 135 500.5

5501 - 6000 5500.5 6000.5 4 5750.5 16 33 068 250.25 23 002.0 132 273 001.0

Σ𝑓 = 100 Σ𝑓𝑥 = 232050 2

Σ𝑓𝑥 =714 982 025

CALCULATION OF MEASURES OF CENTRAL TENDENCY

Mean,

The mean is the average of all numbers in a data set.

Σ𝑓𝑥
𝑥= Σ𝑓
232 050.0
𝑥= 100
𝑥= 2320.5

Median,

The middle number; found by ordering all data points and picking out the one in the
middle or if there are two middle numbers, taking the mean of those two numbers.

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 ( )
𝑁
−𝐹
median = L + 2
𝑓𝑚
c

L = Lower boundary of the median class = 2000.5

N = Total number of observation (Σ𝑓) =100
F = Cumulative frequency until point L = 45
𝑓𝑚 = Frequency of the median class = 18
c = Size of the interval class = 500

100
Median is in the 2
= 50th
Median class = 2001 - 2500

median =(2000. 5)+ ( 50 − 45

18 )(500)
= 2 139.39

Mode,

Mode is the number that occurs most frequently.

Modal class = 1501 - 2000

mode = L + ( ∆1
∆1 + ∆2 )c

L = Lower boundary of the modal class = 1500.5

∆1 = Difference between the frequency of the modal class and the class
immediately preceding it = 19 - 6

∆2 = Difference between the frequency of the modal class and the class
immediately after it = 19 - 18

c = Size of the modal class = 500

19−6
mode = 1500.5+⎡ 19−6+(19−18 ) ⎤500
⎣ ⎦
=1964.79

Explanation: The mean of the Sentul communities monthly income is RM 2 320.50. This
shows that the average income for a respondent in Sentul, Kuala Lumpur is RM 2 320.50.

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The median and mode of the Sentul communities monthly income are RM 2 139.39 and
RM 1 964.79 respectively.

Table 5 : Cumulative frequency distribution of Sentul communities income

Total Monthly Income Cumulative frequency

(RM)

1 - 500 3

501 - 1000 20

1001 - 1500 26

1501 - 2000 45

2001 - 2500 63

2501 - 3000 75

3001 - 3500 83

3501 - 4000 89

4001 - 4500 92

4501 - 5000 94

5001 - 5500 96

5501 - 6000 100

Figure 5 : Less than ogive of Sentul communities

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Analysis on the ogive

1. Estimate the number of Sentul communities with total monthly income below
RM 3000.00 ?
From the ogive graph, we can conclude that there are 83 of the Sentul communities that
have total monthly income below RM 3000.00.

2. Estimate the percentage of Sentul communities total monthly income that exceeds
RM 4000.00.

100 − 92 = 8

8
100
×100 = 8. 0%

The percentage of Sentul communities total monthly income that exceeds RM4000 is
8.0%.

3. Estimate the number of Sentul communities with the total monthly income lower than
RM 1500.00.
From the ogive, we can see that there are 45 communities with the total monthly income
that is lower than Rm 1500.00.

CALCULATION FOR MEASURES OF DISPERSION

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Variance,

Variance is the expectation of the squared deviation of a random variable from its mean.

2
2= Σ𝑓𝑥 2
𝑠 Σ𝑓
−𝑥
=
714982025
100
- (2320. 52)
=1 765 100

Standard deviation,

Standard deviation is a measure of the amount of variation or dispersion of a set of values.

( )
2
2
Σ𝑓𝑥
s= Σ𝑓
−𝑥

= ( 714 982 025

100 ) − (2320. 5 ) 2

=1 328.57

Interpretation: The variance of the Sentul communities total monthly income is

RM 1 765 100.00 and the standard deviation is RM 1 328.57.

CALCULATION OF COEFFICIENTS OF VARIATION AND SKEWNESS IN

SENTUL COMMUNITIES

Coefficient of Variation, CV

𝑠𝑡𝑎𝑛𝑑𝑎𝑟𝑑 𝑑𝑒𝑣𝑖𝑎𝑡𝑖𝑜𝑛
CV = 𝑚𝑒𝑎𝑛
× 100
1328.57
CV = 2320.5
× 100
CV = 57.25%

Interpretation : The coefficient of variation is 57.25% for Sentul communities. Hence, the
larger the coefficient of variation, the more dispersed and less consistent the data.

Person’s Coefficient of Skewness

3(𝑚𝑒𝑎𝑛−𝑚𝑜𝑑𝑒)
Person’s coefficient of skewness = 𝑠𝑡𝑎𝑛𝑑𝑎𝑟𝑑 𝑑𝑒𝑣𝑖𝑎𝑡𝑖𝑜𝑛
3(2320.5−1964.79)
= 1328.57
=0.8032

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 Figure 6: Skewed distribution of household income in Sentul, KL

Interpretation: The Pearson’s coefficient of skewness for Sentul communities are positive
so the distribution is positively skewed.

CONCLUSION

To conclude, we have fulfilled the objectives of this study which are to analyze the
central tendency of the household income in Sentul, Kuala Lumpur, Malaysia and to
analyze the measure of dispersion of the household income in Sentul, Kuala Lumpur,
Malaysia. In addition, we have also described the demographics of residents of the people
in Sentul, Kuala Lumpur which are home ownership tenure, marital status and occupation.

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In this study, it is obviously shown that nearly all individuals in Sentul are living in
destitution as they are facing monetary issues due to some reasons. 19% of the respondents
are having a salary in the range RM1501-RM2000 monthly and only a few of them are
having a salary above RM5000. Based on the data obtained, we can infer that practically
everyone of the respondents are categorized as B40 because their family pay is beneath
RM4850 per month. 83% of the people are married, 3% are widow and divorce and 11%
are still single. Household income is important since they require money to sustain their
families and ensure their survival. In addition, they also have to pay for the utilities as
some of them live in their own homes and the rest live in rented homes.

RECOMMENDATION

Poverty seems to be harmful to a country, not only because of the incapability of

productive people but also because of the risk of environmental degradation. According to
Human Settlements Program of International Institute for Environment and Developmental
(IIED) , at least 6000 million of people (urban resider) have income that are low and
insufficient to support the cost of essentials and also live in homes with poor quality areas
such as overcrowded housing and inadequate services that causes their lives and health
constantly jeopardized. As being said, viewing this study area, the government authority of
Kuala Lumpur, Kuala Lumpur City Hall(DBKL) should take some pragmatic action
regarding this issue. The government should pay attention in planning the strategy to
reduce poverty in Sentul, like what has been done by the Philippines. The government of
the Philippines implemented a program called the Pantawid Pamilyang Pilipino Program
(4Ps) . The 4Ps program is a conditional cash transfer program for low-income families.
The program provides household grants to the families that meet certain criteria and some
of them are keeping the children in school,having regular health check-ups and many
more. About 20 million Filipinos benefit from the 4Ps initiative, with 9 million of them
being children. As a result, it has been demonstrated that this type of program can be
beneficial, and it must be implemented in order to eliminate poverty in Sentul.

Bibliography
● Murad, Md & Hasan, Md & Islam, Md & Alam, Md. Mahmudul. (2019).
Socio-economic profile of the low income and poor communities in Kuala Lumpur
city, Malaysia.
● https://www.worldbank.org/en/home

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● Project, B. (2020, September 25). Poverty in the Philippines. The Borgen Project.
Retrieved November 25, 2021, from
https://borgenproject.org/poverty-in-the-philippines-3/.

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