STATISTICS AND PROBABILITY | WEEK 5

LEARNING
MODULE
STATISTICS AND
PROBABILITY
Gr.11│W5

ESTIMATION OF
PARAMETERS

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 STATISTICS AND PROBABILITY | WEEK 5

LESSON 5: ESTIMATION OF PARAMETERS

HOW TO USE THIS MODULE
Before you start answering the module, I want you to set aside other tasks
that will disturb you while enjoying the lessons. Read the simple instructions
below to successfully enjoy the objectives of this kit. Have fun!
Follow carefully all the contents and instructions indicated in every
page of this module.
Write on your notebook or any writing pad the concepts about the
lessons. Writing enhances learning, that is important to develop and
keep in mind.
Perform all the provided activities in the module.
Let your facilitator/guardian assess your answers.
Analyze conceptually the posttest and apply what you have
learned.
Enjoy studying!

Very often, we want to describe particular characteristics of an entire

population. The information might be needed foe decision-making. However,
collecting data from the population is impractical even if it is possible to do so.
Researchers often use a random sample to undertake this. The results may not exactly
be equal the population parameter but there are acceptable procedures to
approximate population values. The process which conclusions about parameters in
the population are made based on sample data is called STATISTICAL INFERENCE. There
are two areas of statistical interference: ESTIMATION and HYPOTHESIS TESTING.

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DISCUSSION:
LESSON 5.1: COMPUTING THE POINT
ESTIMATE OF A POPULATION
In this lesson, you will learn to:
Understand the concept of estimation;
Distinguish between point estimate and interval estimate; and
Find the point estimates of population means and proportions.

o An is a value or a range of values that approximate a

parameter. It is based on a sample statistics computed from
sample data.
o is the process of determining parameter values.
o A is a specific numerical value of a population
parameter. The sample mean ̅ is the best point estimate of the
population mean. Point estimate is “The mean of the means”.
̅̅
o An is a range of values that may contain the
parameter of a population.
o A population may be finite or infinite. A is
countable. An is a hypothetical collection of
elements.

A good estimator has the following properties:

1. When the mean of the sample statistic from a large number of different
random samples equals the true population parameter, then the sample
statistics is an of the population parameter.
2. Across the many repeated samples, the estimates are not very far from the
true parameter value.
The following figures illustrate where the vertical line represents the
population men and dots represent sample means form the ̅ sampling
distribution.

EXAMPLE 1:

TRUCK BAN
Mr. Domingo conducted a survey among ten random samples of people
who are in favor of truck ban in a section of metropolitan area. He
determined the percentages of those who are in favor of the ban. Assuming
that the error present is the sampling error, he wanted to determine the point
estimate of the population, mean percentage and the standard deviation
based on 500 observations. The following numbers represent the percentages
of the ten surveys.

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SOLUTION:
STEPS SOLUTION
1. Find the mean of the
FORMULA: ̅ , where is a percentage.
percentages.

̅
̅
2. Compute the variance. ̅

3. Compute the standard

deviation by extracting
the root of the
variance.

EXAMPLE 2:
MORE on COCO JUICE
TASK:
1. Look at the of coconut juice as consisting of
2. Compute the means of the column samples.
3. Compute the overall mean.
4. Compute the standard deviation and the variance.

SAMPLE 1 2 3 4 5 6 7 8 9 10
500 498 497 503 499 497 497 497 497 495
500 500 495 494 498 500 500 500 500 497
497 497 502 496 497 497 497 497 497 495
501 495 500 497 497 500 500 495 497 497
502 497 497 499 496 497 497 499 500 500
496 497 496 495 497 497 500 500 496 497

SOLUTION:
STEP 1: Compute the Sample and the Overall Mean (Point Estimate)
SAMPLE 1 2 3 4 5 6 7 8 9 10
500 498 497 503 499 497 497 497 497 495
500 500 495 494 498 500 500 500 500 497
497 497 502 496 497 497 497 497 497 495
501 495 500 497 497 500 500 495 497 497
502 497 497 499 496 497 497 499 500 500

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496 497 496 495 497 497 500 500 496 497
SUM 2996 2984 2987 2984 2984 2988 2991 2988 2987 2981
MEAN
̅ 499.33 497.33 497.83 497.33 497.33 498 498.5 498 497.83 496.83

OVERALL MEAN

STEP 2: Compute the Variance and the Standard Deviation.

STEPS SOLUTION
̅

1. Find the sum of the

values in the
numerator and
divide it by

2. Extract the square

√
root of the variance.

LESSON 5: ESTIMATION OF PARAMETERS

In this lesson, you will learn to:
Define confidence level;
Define confidence interval;
Apply the normal curve concepts in computing the interval estimate;
and
Compute confidence interval estimate.

DISCUSSION:
LESSON 5.2: UNDERSTANDING CONFIDENCE
INTERVAL ESTIMATES FOR THE POPULATION MEAN
o An , is a range of values that is
used to estimate a parameter. This estimate may or may not contain the
true parameter value.
o The of an interval estimate of a parameter is the
that the interval estimate contains the parameter. It
describes what percentage of intervals form many different samples
contain the unknown population parameter. There are three commonly
used confidence intervals: confidence intervals.
Shorter intervals are more informative than longer ones. A short interval
can be obtained by having a large sample by using a lower confidence
level.
o The corresponding can be found in the are called
.
o The confidence coefficient of and the confidence
coefficient of .

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The general formula for confidence intervals for large sample is:
̅ ⁄ ( ) ̅ ⁄ ( )
√ √

o ̅ ⁄ ( ) is called the .
√
o ̅ ⁄ ( ) is called the .
√

INTERVAL ESTIMATES
In the general formula for a confidence interval, the term ⁄ ( ) is called the
√
, denoted by , which is defines as the maximum likely difference
between the observed sample mean and the true value of the population mean .
⁄ ( )
√
However, when is not known (as is often the case), the sample standard
deviation is used to approximate . So, the formula for is modified.
⁄ ( ) ⁄ ( )
√ √

ROUNDING RULE FOR A CONFIDENCE INTERVAL FOR A MEAN

1. In computing a confidence interval for a population mean by using raw
data, round off to one more decimal place than the number of decimal
places in the original data.
2. In computing a confidence interval for a population mean by using a sample
mean and a standard deviation, round off to the same number of decimal
places as the given for the mean.

EXAMPLE 1:
HOURS SPENT ON WATCHING TELEVISION
A researcher wants to estimate the number of hours that children
spend watching television. A sample of children was observed to
have a mean viewing time . The population is normally distributed with a
population standard deviation find:
a. The best point estimate of the population mean
b. The confidence interval of the population mean

SOLUTION:
a. POINT ESTIMATE
STEPS SOLUTION
1. Describe the population The parameter of interest is the mean of the TV
parameter of interest. viewing time of all children.
2. Specify the confidence interval criteria.
a. Check the assumptions. The sample size of children is large enough for
the Central Limit Theorem to hold. So, the sampling
distribution means is .
b. Determine the test statistic to The test statistics is the
be used to calculate the
interval.
c. State the level of confidence. The question asks for a confidence, or .
This means that if more random samples were
taken from the target population, and an interval
estimate is made for each sample, then of the

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intervals will contain the true parameter value.

3. Collect and present sample evidence.

a. Collect the sample The sample information consists of ̅
information. .
b. Find the point estimate. The point estimate for the population mean is
.
b. CONFIDENCE INTERVAL
4. Determine the confidence interval.
a. Determine the confidence The confidence coefficient is
coefficient.
b. Find the maximum error
⁄ ( )
√
( )
√

c. Find the lower and upper ̅ ( ) ̅ ( )

⁄ ⁄
confidence limits. √ √
̅ ( ) ̅ ( )
√ √

d. Describe the result. Thus, we can say with confidence that the
interval between contain
the population mean based on
children’s TV viewing time.

EXAMPLE 2:
GPA’s OF ENTERING MATHEMATICS MAJOR
A random selection of entering Mathematics majors has the following
GPAs. Assume that
4.0 3.5 3.0 3.3 3.8 3.1 3.6 4.0 3.9 3.5
3.2 3.0 3.5 3.2 3.0 3.2 4.0 3.0 3.4 3.0
3.0 2.8 5.6 3.0 3.2 3.5 3.2 2.8 3.3 3.1
3.2 2.9 3.0 2.8 4.0 3.7 3.0 3.3 3.2 2.8
Estimate the true mean GPA with confidence.

SOLUTION:
a. POINT ESTIMATE
STEPS SOLUTION
1. Describe the population The parameter of interest is the mean GPA of the
parameter of interest. population of entering mathematics major.
2. Specify the confidence interval criteria.
a. Check the assumptions. The sample size of cMath Majors is large enough
for the Central Limit Theorem to satisfy the
assumption that the sampling distribution means is
.
b. Determine the test statistic to The test statistics is the
be used to calculate the
interval.

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c. State the level of confidence. confidence, so .

From the , the confidence coefficients are
.
3. Collect and present sample evidence.
c. Collect the sample The sample information consists of
information. .
d. Find the point estimate. The point estimate for the population mean is

̅
̅
b. CONFIDENCE INTERVAL
4. Determine the confidence interval.
a. Determine the confidence The confidence coefficient is
coefficient.
b. Find the maximum error
⁄ ( )
√
( )
√

c. Find the lower and upper ̅ ( ) ̅ ( )

⁄ ⁄
confidence limits. √ √
̅ ( ) ̅ ( )
√ √

d. Describe the result. Thus, we can say with confidence that the
interval between contains the true
mean GPA of the population based on entering
mathematics major.

LESSON 5: ESTIMATION OF PARAMETERS

In this lesson, you will learn to:
Identify the appropriate distribution when the population is unknown;
Understand the ;
State the difference between a ; and
Identify the confidence coefficients for computing from the .

DISCUSSION:
LESSON 5.3: CONFIDENCE INTERVALS FOR THE
POPULATION MEAN WHEN IS UNKNOWN

Assumptions in Computing for the Population Mean when is Unknown

When is unknown, the sample standard deviation can be
substituted for . However, the following assumptions should be met.
1. The sample is a random sample.
2. Either or the population is normally distributed when

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The general expression for the confidence interval when is unknown is

given by:
̅ ( ) and the distribution of values is called
√

HISTORICAL NOTE
The was formulated in 1908 by an
Irish brewing employee named . Gosset was
involved in researching new methods of manufacturing
ale. Because brewing employees were not allowed to
publish results, Gosset publishedhis finding using the
pseudonym student. Hence, the is
sometimes called .

The formula in computing the confidence interval using the is:

̅ ( ) ̅ ( )
√ √
The found in the are the proportions of the areas in two tails of
the . They are called the

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Note that in the table, the are based, not on sample size , but
. For example, for , the confidence interval
when is known is ̅ ( ); but when is unknown and only is available, the
√
confidence interval is ̅ ( ). The confidence coefficient is . Likewise, in the
√
, for , the confidence interval is ̅ ( ).
√

EXAMPLE 1:
MEAN AGE OF ENTERING MATH MAJORS
An admission officer of an educational institution wants to know the mean of all
entering mathematics major. He computed a mean age of and a standard
deviation of on a random sample of entering mathematics majors
purportedly coming from a normally distributed population. With confidence, find
the point estimate and the interval estimate of the population mean.

SOLUTION:
a. POINT ESTIMATE
STEPS SOLUTION
1. Describe the population The parameter of interest is the mean of entering
parameter of interest. mathematics major.
2. Specify the confidence interval criteria.
a. Check the assumptions. The sample size of mathematics major comes
from a normally distributed parent population.
b. Determine the test statistic to The test statistics is the
be used to calculate the
interval.
c. State the level of confidence. For a confidence, .
3. Collect and present sample evidence.
a. Collect the sample The sample information consists of
information. ̅ .
b. Find the point estimate. The point estimate for the population mean is .
b. CONFIDENCE INTERVAL
4. Determine the confidence interval.
a. Determine the confidence From the , for . The
coefficient. confidence coefficient for this value is
b. Find the maximum error
⁄ ( )
√
( )
√

c. Find the lower and upper ̅ ( ) ̅ ( )

⁄ ⁄
confidence limits. √ √
̅ ( ) ̅ ( )
√ √

d. Describe the result. Thus, we can say with confidence that the
interval between contains the true
mean age the population of entering
mathematics majors based on the sample
entering mathematics major.

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LESSON 5: ESTIMATION OF PARAMETERS

In this lesson, you will learn to:
Understand the population proportion ;
Illustrate the sampling distribution of the estimator of ;
State the characteristics of the sampling distribution of the estimate of

Identify the point estimator for the population proportion ; and

Compute the point estimator of a population proportion .

On a typical morning, Anthony asks his TV viewers if they

the “great escape” story of a group of soldiers from a perceived adversary. At
the end of his show, he reported that of the respondents the story.
 What does the report mean to you?
 What do you understand by the expression

DISCUSSION:
LESSON 5.4: POINT ESTIMATE FOR THE POPULATION
PROPORTION

The percentage expression is also called a . Percentages

are preferred when reporting frequencies of subsets of population. But in
computing, percentages are first converted to proportions in decimal
form. Proportions also represent probabilities. So, the probability that TV
viewers favor the “great escape” story is

Definition:
is a fraction expression where the favorable response is in the
numerator and total number of respondents is in the denominator. The basic
operation involves Thus, the result is a decimal value that can be
expressed as percent.
Proportions can be obtained from samples or populations.
To facilitate our discussions, we shall use the following symbols:

For a sample proportion,

̂ ̂ ̂
where: is the number of sample elements that possess the desired
characteristics; and is the sample size.

EXAMPLE 1:
NEW KIND OF SNACKS
A random selection ofschool children were asked whether they
whether they like or not, a new kind of snack
served by the school cafeteria. The responses are shown as follows:

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1 0 1 1 2 1 1 2 0 1
1 1 0 0 1 1 1 0 1 1
1 2 1 1 1 1 1 1 1 1
0 1 0 0 0 1 1 0 0 0
2 1 2 2 1 2 1 2 2 0
2 1 2 2 0 2 1 2 0 2
1. What is the proportion of respondents who the new snack?
2. What is the proportion of respondents who the new snack?
3. What is the proportion of respondents who

SOLUTION:
1. There are the new snack. The proportion for is:
̂
2. There are responses. This proportion is
̂
3. There are responses and this proportion is:
̂

EXAMPLE 2:
PEOPLE LIKE TO WATCH MOVIE ON THE BIG SCREEN
In a survey of individuals, like to watch movies on the big screen.
Estimate the true population proportion ̂ is the proportion of those who
to watch movies on the big screen based on the sample.

SOLUTION:
Since ̂
The estimator of ̂ . The estimator of ̂. Thus, the population proportion is
.
Since ̂

CHARACTERISTICS OF THE SAMPLING DISTRIBUTION

OF ̂
1. The mean of the sampling distribution of ̂ ̂ is the unbiased
estimator of .
2. The standard deviation of the sampling distribution is ̂ √ that is, √
where .
3. For large samples, the sampling distribution of ̂ is approximately normal. A
sample size is considered large if the interval ̂ does not include
.

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NAME:_________________________________________________
SECTION: ______________________________________________

LEARNING
ACTIVITIES
STATISTICS AND
PROBABILITY
Gr.11│W5

ESTIMATION OF
PARAMETERS

SUMMARY OF SCORES
ACTIVITY 1

ACTIVITY 2

ACTIVITY 3

ACTIVITY 4

ACTIVITY 5

TOTAL

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ACTIVITY #1: POINT ESTIMATE

DIRECTIONS: Find (a) the point estimate of the population parameter , (b)
variance, and the (c) standard deviation.
1. Percentage of children who watch TV before bedtime.
SAMPLE 1 2 3 4 5 6 7 8
70 67 58 60 69 62 70 62
69 59 77 59 52 79 59 59
80 42 60 59 68 40 68 68
56 66 60 40 57 57 70 71
72 54 52 67 62 59 71 72
81 49 45 78 78 69 68 69
̅
̅ ̅
√

2. Lengths of seedlings in a plant box in .

SAMPLE 1 2 3 4 5 6 7 8
8 8.6 12 10 8 10.5 8 10.6
8.6 10.5 7.4 6.4 12.2 6.5 12 6.8
7.5 8 11 8.5 9.5 12 11.5 12.5
10.4 7 6.8 7 7 10.5 7 7
7 8.3 7 13.5 13.5 7 7 12.5
10 6.8 10.2 6 6.5 10.3 6.8 6.8
̅
̅ ̅
√

ACTIVITY #2: CONFIDENCE INTERVAL when is

KNOWN
DIRECTIONS: Solve the following.
1. A sample of students’ ages was obtained to estimate the mean
age of all Grade 9 students. ̅ and the population variance is .
a. what is the point estimate for ?
b. Find the confidence interval for
c. Find the confidence interval for
a. POINT ESTIMATE
STEPS SOLUTION
1. Describe the population
parameter of interest.
2. Specify the confidence interval criteria.
a. Check the assumptions.

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b. Determine the test statistic to The test statistics is the

be used to calculate the
interval.
c. State the level of confidence. The question asks for a confidence, or .
This means that if more random samples were
taken form the target population, and an interval
estimate is made for each sample, then of the
intervals will contain the true parameter value.
3. Collect and present sample evidence.
e. Collect the sample
information.
f. Find the point estimate. The point estimate for the population mean is

b. CONFIDENCE INTERVAL
4. Determine the confidence interval.
e. Determine the confidence The confidence coefficient is
coefficient.
f. Find the maximum error
⁄ ( )
√

g. Find the lower and upper ̅ ( ) ̅ ( )

⁄ ⁄
confidence limits. √ √

h. Describe the result.

c. CONFIDENCE INTERVAL
4. Determine the confidence interval.
a. Determine the confidence The confidence coefficient is
coefficient.
b. Find the maximum error
⁄ ( )
√

c. Find the lower and upper ̅ ( ) ̅ ( )

⁄ ⁄
confidence limits. √ √

d. Describe the result.

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ACTIVITY #3: CONFIDENCE COEFFICIENTS AND

MARGIN OF ERROR
DIRECTIONS: Find the following:
A. Find the confidence coefficients for each of the following:
1. __________________
2. __________________
3. __________________
4. __________________
5. __________________
B. Find given the following:
6. 7.

8. 9.

10.

ACTIVITY #4: CONFIDENCE INTERVAL FOR THE

POPULATION MEAN WHEN IS UNKNOWN
DIRECTIONS: Solve the following unknown.
The mean scores of a random sample of 17 students who took a special
test is . if the standard deviation of the scores is , and the sample comes
from an approximately normal population, find the point and the interval
estimates of the population mean adopting a confidence level of .
SOLUTION:
b. POINT ESTIMATE
STEPS SOLUTION
4. Describe the population
parameter of interest.
5. Specify the confidence interval criteria.
d. Check the assumptions.

e. Determine the test statistic to The test statistics is the

be used to calculate the
interval.
f. State the level of confidence.
6. Collect and present sample evidence.
c. Collect the sample
information.

d. Find the point estimate. The point estimate for the population mean is .

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b. CONFIDENCE INTERVAL
4. Determine the confidence interval.
e. Determine the confidence From the , for . The
coefficient. confidence coefficient for this value is
f. Find the maximum error
⁄ ( )
√

g. Find the lower and upper ̅ ( ) ̅ ( )

⁄ ⁄
confidence limits. √ √

h. Describe the result.

ACTIVITY #5: POINT ESTIMATE FOR THE POPULATION

PROPORTION
DIRECTIONS: Solve the following.
1. Estimate the population proportions for each of the following data:
a. In a plant box consisting of were treated with
growth enhancer. Estimate .

b. In a survey of to watch horror films. Find ̂ ̂,

where ̂ is the proportion of children who like to watch horror films.

2. In a political rally, an opinion poll was conducted among the present

voters if they the platform pf the candidate. said they
. If there were individuals in the sample, what is What is

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3. A total of Grade 11 students who have access to internet services

were asked if they play Mobile Legends before they attend online class.
students responded . What is the population proportion of students
who play mobile games before attending classes? What percent do not
play mobile games before attending classes?

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