MC-VPAA-FN-0008-CM012021

October 6, 2021

Statistical Analysis
with Software
Application
Module No. 5

BS Entrepreneurship

Kim E. Ganub
PART TIME INSTRUCTOR
 Instructional Course Module No. 5
Instructor: Kim E. Ganub

Subject Code : BUS STAT 1

Descriptive Title : Statistical Analysis with Software Application

I. Greeting/Salutation

Hello students, welcome to 1st semester of academic year 2021-

2022. Given the current pandemic, face-to-face teaching were canceled
and as an alternative we use modular method. We will work together to
maintain health and safety standards, while sustaining the academic
excellence. Please reach out to us whenever you have questions. We are
here to support you every step of the way in your journey to the
graduation stage. Good luck and keep safe.

II. Course Description

This course is designed for students to learn the statistical

software and its application in data analyses and expanding their
understanding of statistical inferences. In this subject, we will
introduce the platform of PSPP and focus on the application of PSPP in
data analyses (descriptive statistics and selected inferential statistics
will be covered). Students will learn to program using PSPP and
interpret the result from PSPP.

III. Objectives

This module is designed for you to:

✓ Compute the z-score value for sample and population.

✓ Learned to use z-score to standardized a distribution.
✓ Understand the nature of z-score.

IV. General Instructional Guidelines

To my students, these are the guidelines based on the distance learning

that we follow. Kindly read the following.

1. You can reach me at this number 09972417111 for questions and

clarifications regarding with the topic and tasks allotted for the week. You can
still do transactions beyond the schedule. However, you need to wait for the
reply as the teacher has ancillary tasks to fulfill.
2. Use separate sheets of paper when answering activities of your self-
learning module. Write legibly. Take note of the set deadlines in order for you
to be on time.
3. You are required to submit your output/answer to my facebook messenger
account Kim Ganub (kikim). Please join our messenger group chat, BUS
STAT1A for section A, BUS STAT1B for section B, and BUS STAT1C for section
C.
Learning Outcomes
The learners are expected to be able to:
✓ Identify and describe the exact location of each score in a distribution.
✓ To transform score of X value into z-score or a standard score.
✓ Know the properties of z-score distribution.

V. Pre-Test Evaluation (10 item multiple-choice)

Direction: Answer directly.
1. It specifies the precise location of each X value within a distribution.
A. Variability B. z-score C. Standardized D. Variance

2. It is composed of scores that have been transformed to create predetermined

values for 𝜇 and 𝜎.
A. Variability B. z-score C. Standardized D. Variance

3. What is the mean of the z-score distribution?

A. 0 B. 1 C. 2 D. 3

4 What is the z-score value if the location is above the mean by ¾.

A. +0.75 B. -0.50 C. +0.25 D. +1.00

5. Describe the location in the distribution if the z score value is 1.75.

3
A. Above the mean by 1 standard deviations.
4
1
B. Below the mean by 1 standard deviations.
3
1
C. Above the mean by 12 standard deviations.
3
D. Below the mean by 14 standard deviations.

6. For a population with 𝜇 = 30 and 𝜎 = 8, find the z-score if X = 40

A. +1.25 B. + 1.00 C. +0.75 D. +0.50

7. For a population with 𝜇 = 50 and 𝜎 = 12, find the X value if z = +0.25

A. 70 B. 85 C. 53 D. 50

8. For a sample with 𝑀 = 20 and 𝑠 = 8, find the X value if z = +1.25

A. 30 B. 35 C. 40 D. 50

9. For a sample with 𝑀 = 35 and 𝑠 = 20, find the z-score if X = 65.

A. +1.25 B. + 1.5 C. +1.25 D. +1.75

10. What does the negative sign of a z-score signifies?

 A. The score is above the mean
B The score is below the mean
C It signifies nothing
D None of the above

VI. Discussions
z-Scores: Location of Scores
and
Standardized Distributions

Lesson 1
Introduction to z-Score

In the previous two chapters, we introduced the concepts of the mean and the
standard deviation as methods for describing an entire distribution of scores. Now
we shift attention to the individual scores within a distribution. In this chapter, we
introduce a statistical technique that uses the mean and the standard deviation to
transform each score (X value) into a z-score, or a standard score. The purpose of z-
scores, or standard scores, is to identify and describe the exact location of each score
in a distribution.
The process of transforming X values into z-scores serves two useful purposes:
1. Each z-score tells the exact location of the original X value within the distribution.
2. The z-scores form a standardized distribution that can be directly compared to
other distributions that also have been transformed into z-scores.

Each of these purposes is discussed in the following sections.

Lesson 2
z-Scores and the Location in a Distribution

One of the primary purposes of a z-score is to describe the exact location of a

score within a distribution. The z-score accomplishes this goal by transforming each
X value into a signed number ( + or –) so that,
1. The sign tells whether the score is located above (+) or below (–) the mean, and
2. The number tells the distance between the score and the mean in terms of the
number of standard deviations.
Thus, in a distribution of IQ scores with 𝜇 = 100 and 𝜎 = 15, a score of X =
130 would be transformed into z = +2.00. The z value indicates that the score is
located above the mean (+) by a distance of 2 standard deviations (30 points).
DEFINITION: A z-score specifies the precise location of each X value within a
distribution. The sign of the z-score (+ or –) signifies whether the score is above
the mean (positive) or below the mean (negative). The numerical value of the z-
score specifies the distance from the mean by counting the number of standard
deviations
2.1 between X
THE z-SCORE and 𝜇.
FORMULA
 The z-score definition is adequate for transforming back and forth from X
values to z-scores as long as the arithmetic is easy to do in your head. For more
complicated values, it is best to have an equation to help structure the calculations.
Fortunately, the relationship between X values and z-scores is easily expressed in a
formula. The formula for transforming scores into z-scores is
𝑋− 𝜇
𝑧=
𝜎
Example 1

A distribution of scores has a mean of 𝜇 =100 and a standard deviation of 𝜎 =

10. What z-score corresponds to a score of X = 130 in this distribution?
According to the definition, the z-score has a value of +3 because the score is
located above the mean by exactly 3 standard deviations. Using the z-score formula,
we obtain.
𝑋− 𝜇 130 − 100 30
𝑧= = = =3
𝜎 10 10
The formula produces exactly the same result that is obtained using the z-
score definition.

Example 2

A distribution of scores has a mean of 𝜇 = 86 and a standard deviation of 𝜎 =

7. What z-score corresponds to a score of X = 95 in this distribution?
𝑋− 𝜇 95 − 86 9
𝑧= = = = 1.29
𝜎 7 7
According to the formula, a score of X = 95 corresponds to z = 1.29. The z-
score indicates a location that is above the mean (positive) by slightly more than 1
standard deviation.

2.2. TRANSFORMING Z-SCORE VALUE TO X

Although the z-score equation works well for transforming X values into z-
scores, it can be awkward when you are trying to work in the opposite direction and
change z-scores back into X values. The formula to transform z-score value to X is

𝑋 = 𝜇 + 𝑧𝜎
Example 3

For a distribution with a mean of 𝜇 = 60 and 𝜎 =5, what X value corresponds

to a z-score of z = –3.00?

𝑋 = 𝜇 + 𝑧𝜎 = 60 + (-3.00)(5)= 60 + (-15.00) = 45.00

Lesson 3
Using z-score to Standardize a Distribution
It is possible to transform every X value in a distribution into a corresponding
z-score. The new distribution of z-scores has characteristics that make the z-score
transformation a very useful tool. Specifically, if every X value is transformed into a
z-score, then the distribution of z-scores will have the following properties:

1. Shape. The distribution of z-scores will have exactly the same shape as the original
distribution of scores.
2. The mean. The z-score distribution will always have a mean of zero.

3. The standard deviation. The distribution of z-scores will always have a

standard deviation of 1.

DEFINITION: A standardized distribution is composed of scores that have been

transformed to create predetermined values for 𝜇 and 𝜎. Standardized
distributions are used to make dissimilar distributions comparable.

Lesson 4

Using z-Score to Make Comparisons

One advantage of standardizing distributions is that it makes it possible to

compare different scores or different individuals even though they come from
completely different distributions. Normally, if two scores come from different
distributions, it is impossible to make any direct comparison between them.
Suppose, for example, Dave received a score of X = 60 on a psychology exam and a
score of X = 56 on a biology test. For which course should Dave expect the better
grade?

Instead of drawing the two distributions to determine where Dave’s two scores
are located, we simply can compute the two z-scores to find the two locations. For
psychology, Dave’s z-score is
𝑋− 𝜇 60 − 50 10
𝑧= = = = +1.00
𝜎 10 10
For biology, Dave’s z-score is
𝑋− 𝜇 56 − 48 8
𝑧= = = = +2.00
𝜎 4 4
Note that Dave’s z-score for biology is +2.0, which means that his test score is
2 standard deviations above the class mean. On the other hand, his z-score is +1.0
for psychology, or 1 standard deviation above the mean. In terms of relative class
standing, Dave is doing much better in the biology class.
Notice that we cannot compare Dave’s two exam scores (X = 60 and X = 56)
because the scores come from different distributions with different means and
standard deviations. However, we can compare the two z-scores because all
distributions of z-scores have the same mean (𝜇 = 0) and the same standard deviation
(𝜎 = 1).
Lesson 3
Computing z-Score for a Sample

Although z-scores are most commonly used in the context of a population, the
same principles can be used to identify individual locations within a sample. The
definition of a z-score is the same for a sample as for a population, provided that you
use the sample mean and the sample standard deviation to specify each z-score
location. Thus, for a sample, each X value is transformed into a z-score so that

1. The sign of the z-score indicates whether the X value is above (+) or below (–)
the sample mean, and
2. The numerical value of the z-score identifies the distance from the sample mean
by measuring the number of sample standard deviations between the score (X)
and the sample mean (M).
Expressed as a formula, each X value in a sample can be transformed into a
z-score as follows:
𝑋− 𝑀
𝑧=
𝑠
Similarly, each z-score can be transformed back into an X value, as follows:
𝑋 = 𝑀 + 𝑧𝑠
Example 4
We begin with a sample of n = 5 scores: 0, 2, 4, 4, 5. With a few simple
calculations, you should be able to verify that the sample mean is M = 3, the sample
variance is 𝑠 2 = 4, and the sample standard deviation is s = 2. Using the sample mean
and sample standard deviation, we can convert each X value into a z-score. For
example, X = 5 is located above the mean by 2 points. Thus, X = 5 is above the mean
by exactly 1 standard deviation and has a z-score of z =+1.00. The z-scores for the
entire sample are shown in the following table.

X z
0 -1.50
2 -0.50
4 +0.50
4 +0.50
5 +1.00

Again, a few simple calculations demonstrate that the sum of the z-score
values is 𝜎 z = 0, so the mean is 𝑀𝑧 = 0. Because the mean is zero, each z-score value
is its own deviation from the mean. Therefore, the sum of the squared deviations is
simply the sum of the squared z-scores. For this sample of z-scores,

SS = ∑ 𝑧 2 = (−1.50)2 + (−0.50)2 + (+0.50)2 + (+0.50)2 + (+1.00)2

= 2.25 + 0.25 + 0.25 + 0.25 + 1.00
= 4.00
The variance for the sample of z-scores is
𝑆𝑆 4
𝑠𝑧2 = = = 1.00
𝑛−1 4
Finally, the standard deviation for the sample of z-scores is 𝑠𝑧2 = √1.00 = 1.00.
As always, the distribution of z-scores has a mean of 0 and a standard deviation of
1.
VII. Post-Test Evaluation Activity
Direction: Copy and answer. Provide necessary solution.
(2pts) 1. What information is provided by the sign (+/–) of z-score? What
information is provided by the numerical value of the z-score?
2. A sample consists of the following N = 6 scores: 7, 4, 6, 4, 1, and 3.

(4pts) a. Find the mean (M) and standard deviation (s) of the sample.

(6pts) b. Find the z-score for each score in the sample.

(3pts) c. Compute the variance and standard deviation of z-score.

VIII. Terminology/Definition of Terms

1. z-Score - A z-score specifies the precise location of each X value within a

distribution.

2. Standardized - A standardized distribution is composed of scores that have been

transformed to create predetermined values for 𝜇 and 𝜎.

IX. Summary
1. Each X value can be transformed into a z-score that specifies the exact location of
X within the distribution. The sign of the z-score indicates whether the location is
above (positive) or below (negative) the mean. The numerical value of the z-score
specifies the number of standard deviations between X and 𝜇.

𝑋− 𝜇
𝑧=
𝜎
For sample,
𝑋− 𝑀
𝑧=
𝑠
3. To transform z-scores back into X values, it usually is easier to use the z-score
definition rather than a formula. However, the z-score formula can be transformed
into a new equation. For a population:
𝑋 = 𝜇 + 𝑧𝜎
For a sample,
𝑋 = 𝑀 + 𝑧𝑠
4. When an entire distribution of X values is transformed into z-scores, the result is
a distribution of z-scores. The z-score distribution will have the same shape as the
distribution of raw scores, and it always will have a mean of 0 and a standard
deviation of 1.
5. When comparing raw scores from different distributions, it is necessary to
standardize the distributions with a z-score transformation. The distributions will
then be comparable because they will have the same parameters ( 𝜇 = 0, 𝜎 = 1). In
practice, it is necessary to transform only those raw scores that are being compared.

6. In certain situations, such as psychological testing, a distribution may be

standardized by converting the original X values into z-scores and then converting
the z-scores into a new distribution of scores with predetermined values for the mean
and the standard deviation.

X. Rubrics/Criteria for the Assessments Conducted

Direct Grading

XI. References (Resources and Media)

Gravetter F. J., Wallnau L. B. (2009). Statistics for the Behavioral Sciences (9 th Edition).
Toronto: Thompson.

Elliot A. C., Woodward W. A. (2007). Statistical Analysis Quick Reference Guidebook: With
SPSS Examples.