RANDOM EXPERIMENTS
PROBABILITY
MARGINAL JOINT CONDITIONAL
INDEPENDENCE
CONTINGENCY TABLES
Chapter 5
2-1
Random Experiments
Experiments, Sample Spaces, Outcomes, and Events
In business a random experiment is defined as a
process that we can observe where t
CORRELATION ANALYSIS
REGRESSION: Vocabulary and
Significance Tests
PREDICTING THE RESPONSE
RESIDUAL DIAGNOSTICS
UNUSUAL OBSERVATIONS
Chapter 12
We are interested in.
Relationship between 2 quantitative
variables
n Example
n
Does the Number of Facebook fri
HYPOTHESIS TESTING:
Comparing two samples
INDEPENDENT SAMPLES
PAIRED SAMPLES
PROPORTIONS
Two-Sample Tests
What Is a Two-Sample Test
A two-sample test compares two sample estimates with each
other.
A one-sample test compares a sample estimate to a populati
CHI-SQUARE DISTRIBUTION
CHI-SQUARE TEST FOR
INDEPENDENCE
CHI-SQUARE TEST FOR
GOODNESS OF FIT
Chapter 15
Chi-Square Distribution
When summing squared standard normal random variables,
we have a new statistic called the Chi-Square Statistic, c2.
The shape o
HYPOTHESIS TESTING
TYPE I AND II ERRORS
APPLYING THE STEPS
INTERPRETING A P-VALUE
Nonstatistical Hypothesis Testing
A criminal trial is an example of hypothesis testing without
the statistics.
In a trial a jury must decide between two hypotheses. The
null
CONTINUOUS RANDOM VARIABLES
CONTINUOUS UNIFORM
NORMAL
STANDARD NORMAL
Chapter 7
EXPONENTIAL
2-1
Continuous Random Variable
Events as Intervals
Discrete Variable each value of X has its own
probability, i.e., P(X = x) has a value
Continuous Variable events
DOTPLOTS AND
HISTOGRAMS
LINE CHARTS
COLUMN AND BAR CHARTS
PARETO CHARTS
PIE CHARTS
Chapter 3
SCATTER PLOTS
2-1
Visual summaries such as charts
and graphs provide insight into
characteristics of a data set
without using mathematics.
We look for:
Central Te
MEASURES OF CENTER
MEASURES OF VARIABILITY
STANDARDIZED DATA
BOXPLOTS AND QUARTILES
CORRELATION
Chapter 4
2-1
Numerical summaries enhance our
understanding of a data set and
provide more precise descriptions
than graphs or charts.
We summarize the same th
RANDOM VARIABLES
PROBABILITY DISTRIBUTIONS
EXPECTED VALUE
DISCRETE UNIFORM
BINOMIAL
Chapter 6
POISSON
2-1
Discrete random variable
A random variable is a function or rule that assigns a
numerical value to each outcome in the sample space
of a random exper
VARIABLES
DATA
MEASUREMENT
LEVELS
SAMPLING
CONCEPTS
Chapter 2
2-1
Individuals and Variables
An individual is the thing we count or measure, such
as students, cars, countries or invoice statements
A variable is some characteristic about the individual.
S
ESTIMATING PARAMETERS
THE CENTRAL LIMIT THEOREM
CONFIDENCE INTERVALS
SAMPLE SIZE DETERMINATION
Estimating Parameters
We use a sample statistic to estimate a population parameter.
Choosing the correct statistic as the estimator is
important for the followi