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Sampling Methods and The Central Limit Theorem
Sampling Methods and The Central Limit Theorem
Chapter 8
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Why Sample the Population?
3
Probability Sampling
4
Methods of Probability Sampling
5
Methods of Probability Sampling
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Methods of Probability Sampling
The sampling error is the difference between a sample statistic and its
corresponding population parameter.
7
Sampling Distribution of the
Sample Means
8
Sampling Distribution of the
Sample Means - Example
9
Sampling Distribution of the
Sample Means - Example
10
Sampling Distribution of the
Sample Means - Example
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Sampling Distribution of the
Sample Means - Example
12
Central Limit Theorem
13
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Using the Sampling
Distribution of the Sample Mean (Sigma Known)
X
z
n
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Using the Sampling
Distribution of the Sample Mean (Sigma Unknown)
X
t
s n
16
Using the Sampling Distribution of the Sample
Mean (Sigma Known) - Example
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Using the Sampling Distribution of the Sample
Mean (Sigma Known) - Example
X 31.38 32.20
z 1.80
n $0.2 16
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Using the Sampling Distribution of the Sample
Mean (Sigma Known) - Example
19
Using the Sampling Distribution of the Sample
Mean (Sigma Known) - Example
What do we conclude?
It is unlikely, less than a 4 percent chance, we
could select a sample of 16 observations
from a normal population with a mean of 31.2
ounces and a population standard deviation
of 0.4 ounces and find the sample mean
equal to or greater than 31.38 ounces.
We conclude the process is putting too much
cola in the bottles.
20
Suppose the mean selling price of a
gallon of gasoline in the United States is
$1.30. Further, assume the distribution
is positively skewed, with a standard
deviation of $0.28. What is the
probability of selecting a sample of 35
gasoline stations and finding the sample
mean within $.08?
Example 2
Step One : Find the z-values corresponding to $1.24 and $1.36.
These are the two points within $0.08 of the population mean.
X $1.38 $1.30
z 1.69
s n $0.28 35
X $1.22 $1.30
z 1.69
s n $0.28 35
Example 2
continued
Step Two: determine the probability of a z-value between -1.69 and
1.69.
Example 2
continued
End of Chapter 8
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