Interval Estimation

Interval Estimation - 1 Slide x x x x μ Chapter 8 Interval...

Info iconThis preview shows pages 1–8. Sign up to view the full content.

View Full Document Right Arrow Icon

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: 1 Slide [--------------------- ---------------------] x x [--------------------- ---------------------] [--------------------- ---------------------] x x μ Chapter 8 Interval Estimation ■ Interval Estimation of a Population Mean: Large-Sample Case ■ Interval Estimation of a Population Mean: Small-Sample Case ■ Determining the Sample Size ■ Interval Estimation of a Population Proportion 2 Slide Interval Estimation of a Population Mean: Large-Sample Case ■ Sampling Error ■ Probability Statements about the Sampling Error ■ Constructing an Interval Estimate: Large-Sample Case with σ Known ■ Calculating an Interval Estimate: Large-Sample Case with σ Unknown 3 Slide Probability Statements About the Sampling Error ■ Knowledge of the sampling distribution of enables us to make probability statements about the sampling error even though the population mean μ is not known. ■ A probability statement about the sampling error is a precision statement . x 4 Slide ■ Precision Statement There is a 1 - α probability that the value of a sample mean will provide a sampling error of or less. Probability Statements About the Sampling Error μ α /2 α /2 1 - α of all values x z x α σ /2 Sampling distribution of x x 5 Slide Interval Estimate of a Population Mean: Large-Sample Case ( n > 30) ■ With σ Known where: is the sample mean 1 - α is the confidence coefficient z α /2 is the z value providing an area of α /2 in the upper tail of the standard normal probability distribution σ is the population standard deviation n is the sample size x z n ± α σ /2 x 6 Slide Interval Estimate of a Population Mean: Large-Sample Case ( n > 30) ■ With σ Unknown In most applications the value of the population standard deviation is unknown. We simply use the value of the sample standard deviation, s , as the point estimate of the population standard deviation. x z s n ± α /2 7 Slide National Discount has 260 retail outlets throughout the United States. National evaluates each potential location for a new retail outlet in part on the mean annual income of the individuals in the marketing area of the new location....
View Full Document

This note was uploaded on 03/03/2012 for the course MGMT 305 taught by Professor Priya during the Spring '08 term at Purdue.

Page1 / 24

Interval Estimation - 1 Slide x x x x μ Chapter 8 Interval...

This preview shows document pages 1 - 8. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online