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Population Parameters

Meu 1090 Mean SAT Score from previous year


Sigma 80 STDV from previous year
Proportion 0.72 Campus accomodation from previous year's data

Sample Statistic (x-bar)


x-bar 1097
Standard Error (X-bar) 14.6
Sample Size 1 30
Standard Error (X-bar) 8
Sample Size 2 100

Prob of mean SAT Score lying between


+/-1% of Population (previous year)
SAT score 1079.10 0.54 0.8270 0.1730
1100.90
Sample Statistic (Proportion) 21.80
proportion(p) 0.6
Stndard Error (p) 0.082
Sample Size 1 30
proportion(p) 0.045
Sample Size 2 100

Prob of campus accommodation lying 0.684 0.34 0.58 0.330275


between +/-5% of previous year's
campus accommodation seekers
0.756 0.669725
0.339451

0.0021
0.04582575695 0.046
s year's data

30 54
21.6 24.3

8.4 0.004583
0.0677 0.068

0.315
0.285
It is another version of PMT. The only difference is this – PPMT calculates payment on principal with a constant interest rate a

PPMT = (Rate, Per, Nper, PV, [FV], [Type])

Rate = It is the interest rate/period


Per = The period for which the principal is to be calculated
Nper = Number of periods
PV = Present Value
[FV] = An optional argument which is about the future value of a loan (if nothing is mentioned, FV is considered as “0”)
[Type] = When the payment is made (if nothing is mentioned, it’s assumed that the payment has been made at the end of t

PPMT Example

US $1000 needs to be paid in full in 3 years. The interest rate is 10% p.a. and the payment needs to be done yearly. Find out th

Solution: In excel, we will calculate it in the following manner –

1st year,

=PPMT (10%, 1, 3, 1000)


= US $-302.11 

2nd year,

=PPMT (10%, 2, 3, 1000)

= US $-332.33
10000

bop ₹ 63,359.29 ₹ 107,439.13 ₹ -10,000.00


eop ₹ 58,666.01 ₹ -10,000.00

20 400000 1600000
8%
10
₹ -238,447.18

q5 500000 ₹ -6,983.93 ₹ -500,000.00


5
7%

q6 500000 ₹ -41,645.47 ₹ -500,000.00


10
4%

q7 same as q5

revise q8 10000 pm -38.698071814003 ₹ -5,000.00


8%
500000 return -43.295992611126 ₹ -500,000.00

q9 8000 ₹ 44,205.05 ₹ -10,210.25


5
5%
company 1000 1500 2000

q10 10000 12155.0625 ci formula


5% ₹ -12,155.06
4 3000 AT the end of next 4 years

1000 450 700 250


q11 325 300
400 500
300 200
1475 1250 0.1020416417491
10% 15.60% 0.1559871147907

q12 400000 fund


doubt 92000
85000 2 -42%
94000
92500 4
90000 5
453500 2.54%
0.0254239578506

Q13
10th 4000
11th 4000
12th 4000
13th 4000
14th 4000
15th 4000
16th 4000 ₹ 42,546.51
17th 4000
18th 20000 ₹ -66,242.54
19th -20000 ₹ -23,696.03
20th -20000
21st -20000 36000 ₹ -6,744.96
28000

1000 4000 ₹ 4,984.73


1000
1000
1000
1000
5000
7.93%

7.93%

Q14 SEPAATE EXCEL


Q15
11000 3000 5
₹ -10,814.33

Q16 2000 40 8%

₹ -518,113.04

Q17 LOAN 10000


MONTH 10
RATE 8% annualy
months
annual ₹ -12,078.12 ₹ 10,000.00 1
monthly ₹ -970.37 ₹ 10,000.00 2
3
4
5
6
7
8
9
10

q18
r
r2

rate Period
ABC finance 9% 5 years
ABC finance 8.75% 7years
ABC finance 8.25% 10 years
Sun finance 9.10% 56 months
sun finance 8.70% 80 months
-43.295992611

-61.02227426 ₹ 500,000.00

0.05

2500 3000 10000


₹ -1,475.00
₹ -1,250.00

₹ 410,169.58 ₹ 10,169.58 ₹ -76,034.27


₹ 420,597.72 ₹ 20,597.72 ₹ -77,967.36
₹ 431,290.98 ₹ 31,290.98 ₹ -79,949.60
₹ 442,256.10 ₹ 42,256.10 ₹ -81,982.23
₹ 453,500.00 ₹ 53,500.00 ₹ -84,066.55
₹ -453,500.00

32000
80000
112000 ₹ -5,901.84
beg balance principal interest ending balance
10000 ₹ 970.37 ₹ 66.67 ₹ 9,029.63
₹ 9,029.63 ₹ 976.83 ₹ 60.20 ₹ 8,052.80
₹ 8,052.80 ₹ 983.35 ₹ 53.69 ₹ 7,069.45
₹ 7,069.45 ₹ 989.90 ₹ 47.13 ₹ 6,079.55
₹ 6,079.55 ₹ 996.50 ₹ 40.53 ₹ 5,083.05
₹ 5,083.05 ₹ 1,003.15 ₹ 33.89 ₹ 4,079.90
₹ 4,079.90 ₹ 1,009.83 ₹ 27.20 ₹ 3,070.07
₹ 3,070.07 ₹ 1,016.56 ₹ 20.47 ₹ 2,053.51
₹ 2,053.51 ₹ 1,023.34 ₹ 13.69 ₹ 1,030.16
₹ 1,030.16 ₹ 1,030.16 ₹ 6.87 ₹ -0.00

₹ 10,000.00 ₹ 370.32
-10000 -370.320894
Can we develop a range for Mean SAT Score for the 900 applicants where we can be 95
OR
If we want to be 95% confidence level on our Mean SAT score estimation how much M
OR
Find a 95% confidence interval range for Mean SAT score for this year based on the sam

Confidence Interval for


MEAN SAT SCORE for 900
Applicants X-BAR +/-MOE (Margin of Error)
with Sigma (previous year's STDV)
MOE 28.63
CI-Lower bound 1068.37
CI-Upper bound 1125.63
Range 57.25
Population Parameters
Meu 1090
Sigma 80
Proportion 0.72
Sample STDEV (When Sigma
unavailable) (s) 75.2
Sample Statistic (x-bar)
x-bar 1097
Standard Error (X-bar) 14.6
Sample Size 1 30
Standard Error (X-bar) 8.0
Sample Size 2 100
Error level/Alpha/level of
significance 0.05
Error level/Alpha/level of
significance 0.01
Error level/Alpha/level of
significance 0.1
0.2
0.3
0.4
ore for the 900 applicants where we can be 95% sure that mean SAT Score would vary between

our Mean SAT score estimation how much Mean SAT for the 900 applicants can vary?

Mean SAT score for this year based on the sample data

Confidence Interval for


Campus
Accommodation of
900 Applicants
with sample STDV from 30 applicants
28.08 MOE
1068.92 CI-Lower bound
1125.08 CI-Upper bound
56.16 Range

Mean SAT Score from previous year


STDV from previous year
Campus accomodation from previous year's data

Sample Statistic (Proportion)


proportion(p) 0.6
Stndard Error (p) 0.082
Sample Size 1 30
proportion(p) 0.045
Sample Size 2 100

95% CI 1.96

99% CI 2.58

90% CI 1.64
at mean SAT Score would vary between that range?

r the 900 applicants can vary?

Sample proportion +MOE (Margin of Error)

0.04

0.56
0.64
0.08

0.2016

NORMAL DISTRIBUTION
MOE 29 25 25.00%
Sigma 75.2 0.005443310539518 4.00%
LOS(0.05) 1.96 2.575 2.575 doubt

Sample Size (n)


25.83163 3.14340740741E-07 0.169744
If we have to estimate the exact error of estimation of mean SAT score from t
to demonstrate that the Sample mean SAT score is different from population
So, the task boils down to estimating the probability of error of Sample mean

How do we proceed to estimate that exact error level?

Step 1 Define Objectives/Hypothesis


Step 2 Define your desired/expected level of error
Step 3 Use a probability formula to calculate the probability of error
Step 4 Compare the actual error derived in Step 3 with expected err
on if the sample mean SAT score differs from population mea
Step 1 Step 2 Step 3
Meu 1090 Alpha 0.05 z 0.479
Meu less than (< 1090
Meu greater tha 1090
Meu is different 1090
ean SAT score from the sample of 30 applicants
ent from population (previous year's SAT score) mean SAT Score
ror of Sample mean differing from previous year's Population mean score

probability of error
3 with expected error in Step 2 to draw an inference
rom population mean SAT score
Step 4
Look up the Normal Table to find probability for z=0.479
Population Parameters
Meu 0.2 average sales from previous quarters
Sigma 0.04 STDV from previous qaurter
Proportion 0.6 MBA sales executive

Sample Statistic (x-bar)


x-bar 0.15
Standard Error (X-bar) 0.01
Sample Size 1 54

Prob of mean Average Sales lying


between +/-5% of Management
perception 0.19 0.93
0.21
Sample Statistic (Proportion) 0.02
proportion(p) 0.45
Stndard Error (p) 0.067
Sample Size 54

0.57 0.35 0.326355


Prob of MBA professionals lying
between +/-5% of Thomas estimates
0.63 0.673645
0.34729

0.0021
0.04582575695 0.046

0.01401652463926 0.346
0.412 0.254
0.169744
0.5 0.525
0.475
30 54
21.6 24.3

8.4 0.004583
0.0677 0.068

0.315 0.326087
0.285
Date Close

1/1/2019 3103.050049
1/2/2019 3116.850098
1/3/2019 3135.899902
1/4/2019 3122.699951
1/7/2019 3143.800049
1/8/2019 3089.550049
1/9/2019 3092.649902
1/10/2019 3088.949951
1/11/2019 3096.850098
1/14/2019 3113.649902
1/15/2019 3183.899902
1/16/2019 3175.75
1/17/2019 3207.100098
1/18/2019 3171.350098
1/21/2019 3148.399902
1/22/2019 3153.649902
1/23/2019 3203.850098
1/24/2019 3216.850098
1/25/2019 3206.649902
1/28/2019 3203.449951
1/29/2019 3180.050049
1/30/2019 3208.800049
1/31/2019 3197.699951
2/1/2019 3251
2/4/2019 3266
2/5/2019 3167.050049
2/6/2019 3181.399902
2/7/2019 3214.100098
2/8/2019 3110
2/11/2019 3107.550049
2/12/2019 3008.600098
2/14/2019 2924.600098
2/15/2019 2858.350098
2/18/2019 2911.699951
2/19/2019 2873.550049
2/20/2019 2922.300049
2/21/2019 3001.600098
2/22/2019 3012.800049
2/25/2019 3048.199951
2/26/2019 3073.5
2/27/2019 3058.600098
2/28/2019 3056.899902
3/1/2019 3077.25
3/5/2019 3068.850098
3/6/2019 3026.850098
3/7/2019 3043.850098
3/8/2019 3071.199951
3/11/2019 3133.449951
3/12/2019 3135.149902
3/13/2019 3126.949951
3/14/2019 3149.399902
3/15/2019 3066.550049
3/18/2019 3123.350098
3/19/2019 3125.399902
3/20/2019 3088.100098
3/22/2019 3098.600098
3/25/2019 3090.75
3/26/2019 3099.149902
3/27/2019 3096.899902
3/28/2019 3096.550049
Date Close
ITC ltd NSE britannia ltd
1/1/2019 282.70 3103.05
1/2/2019 280.60 3116.85
1/3/2019 278.85 3135.90
1/4/2019 280.95 3122.70 ITC ltd NSE
1/7/2019 281.65 3143.80
1/8/2019 284.25 3089.55 Mean 284.6850001
1/9/2019 290.40 3092.65 Standard Error 1.0857143993
1/10/2019 289.60 3088.95 Median 281.300003
1/11/2019 295.35 3096.85 Mode 275.5
1/14/2019 294.30 3113.65 Standard Deviation 8.4099075744
1/15/2019 296.55 3183.90 Sample Variance 70.72654541
1/16/2019 294.05 3175.75 Kurtosis -1.488205484
1/17/2019 293.95 3207.10 Skewness 0.3177880978
1/18/2019 291.45 3171.35 Range 25.850006
1/21/2019 289.90 3148.40 Minimum 274.149994
1/22/2019 289.75 3153.65 Maximum 300
1/23/2019 277.30 3203.85 Sum 17081.100006
1/24/2019 278.90 3216.85 Count 60
1/25/2019 279.20 3206.65 Confidence Level(95.0%) 2.1725094949
1/28/2019 274.75 3203.45
1/29/2019 278.45 3180.05
1/30/2019 275.50 3208.80 z-Test: Two Sample for Means
1/31/2019 278.65 3197.70
2/1/2019 280.85 3251.00 282.700012
2/4/2019 277.10 3266.00 Mean 284.71864397
2/5/2019 274.15 3167.05 Known Variance 70.72
2/6/2019 277.70 3181.40 Observations 59
2/7/2019 280.30 3214.10 Hypothesized Mean Difference 0
2/8/2019 275.50 3110.00 z -248.2659378
2/11/2019 277.10 3107.55 P(Z<=z) one-tail 0
2/12/2019 275.30 3008.60 z Critical one-tail 1.644853627
2/14/2019 277.90 2924.60 P(Z<=z) two-tail 0
2/15/2019 280.10 2858.35 z Critical two-tail 1.9599639845
2/18/2019 274.70 2911.70
2/19/2019 275.90 2873.55
2/20/2019 275.85 2922.30
2/21/2019 275.05 3001.60 F-Test Two-Sample for Variances
2/22/2019 274.30 3012.80
2/25/2019 276.70 3048.20 ITC ltd NSE
2/26/2019 275.50 3073.50 Mean 284.6850001
2/27/2019 275.10 3058.60 Variance 70.72654541
2/28/2019 276.05 3056.90 Observations 60
3/1/2019 278.20 3077.25 df 59
3/5/2019 282.55 3068.85 F 0.0093729648
3/6/2019 285.75 3026.85 P(F<=f) one-tail 0
3/7/2019 290.10 3043.85 F Critical one-tail 0.6493689466
3/8/2019 292.00 3071.20
3/11/2019 292.95 3133.45
3/12/2019 294.50 3135.15
3/13/2019 294.90 3126.95
3/14/2019 295.50 3149.40
3/15/2019 290.80 3066.55
3/18/2019 293.55 3123.35
3/19/2019 299.45 3125.40
3/20/2019 298.90 3088.10
3/22/2019 298.20 3098.60
3/25/2019 295.05 3090.75
3/26/2019 293.40 3099.15
3/27/2019 293.10 3096.90
3/28/2019 300.00 3096.55
britannia ltd

Mean 3105.4591757
Standard Error 11.214427396
Median 3108.7750245
Mode #N/A
Standard Deviation 86.866581081
Sample Variance 7545.8029087
Kurtosis 1.0437714856
Skewness -0.874045952
Range 407.649902
Minimum 2858.350098
Maximum 3266
Sum 186327.55054
Count 60
Confidence Level(95.0%) 22.440017387

3103.050049
3105.50000830508
7545.8
59

britannia ltd
3105.45917565
7545.80290868313
60
59
ty
Confidence Interval for
MEAN sales growth for 54
Applicants X-BAR +/-MOE (Margin of Error)
with Sigma (previous year's STDV)
MOE 0.014
CI-Lower bound 0.14
CI-Upper bound 0.16
Range 0.03
Population Parameters
Meu 0.2
Sigma 0.04
Proportion 0.6

Sample Statistic (x-bar)


x-bar 0.15
Standard Error (X-bar) 0.01
Sample Size 1 54
Error level/Alpha/level of
significance 0.05
Error level/Alpha/level of
significance 0.01
Error level/Alpha/level of
significance 0.1
average sales from previous quarters
STDV from previous years
MBA sales executive

95% CI 1.96

99% CI 2.58

90% CI 1.64
NORMAL DISTRIBUTION
Confidence Interval for
MEAN SAT SCORE for 900
Applicants X-BAR +/-MOE (Margin of Error)
with Sigma (previous year's STDV)
MOE 0.011
CI-Lower bound 0.14
CI-Upper bound 0.16
Range 0.02
Population Parameters
Meu 0.2
Sigma 0.04
Proportion 0.6

Sample Statistic (x-bar)


x-bar 0.15
Standard Error (X-bar) 0.01
Sample Size 1 54
Error level/Alpha/level of
significance 0.05
Error level/Alpha/level of
significance 0.01
Error level/Alpha/level of
significance 0.1
average sales from previous quarters
STDV from previous qaurter
MBA sales executive

Sample Statistic (Proportion)


proportion(p) 0.6
Stndard Error (p) 0.089
Sample Size 1 30

95% CI 1.96

99% CI 2.58

90% CI 1.64
0.2016

NORMAL DISTRIBUTION

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