Statistics and Probability (4th Quarter)

Sampling and Sampling Distribution

 Descriptive measures computed from a population are called parameters while descriptive
measures computed from sample are called statistics.
.
 The number of samples of size n that can be drawn from a population of size N is given by NCn
 A sampling distribution of sample means is a frequency distribution using the means computed
from all possible random samples of a specific size taken from a population.
 The probability distribution of the sample means is also called the sampling distribution of the
sample means.
 The standard deviation of the sampling distribution of the sample means is also known as the
standard error of the mean. It measures the degree of accuracy of the sample mean(Ⴟ) as an
estimate of the population mean (µ).
 Steps in Constructing the Sampling Distribution of the Means
1. Determine the number of possible samples that can be drawn from the population using the
formula:
C
N n
Where N= size of the population
n= size of the sample
2. List all the possible samples and compute the mean of each sample.
3. Construct a frequency distribution of the sample means obtained in Step 2.
 Properties of the Sampling Distribution of Sample Mean

If all possible samples of size n are drawn from a population of size N with mean µ and variance o 2
, then the sampling distribution of the sample means has the following properties:

1. The mean of the sampling distribution of the sample means is equal to the population mean µ. That
is,

µႿ =µ
2. The variance of the sampling distribution of the sample means is given by:
2
o N −n
 o=
2
· N−1
for finite population; and
n
2
o
 o
2
Ⴟ = n
for finite population

3. The standard deviation of the sampling distribution of the sample means is given by:

ℴႿ = √
o N −n
a. n · N −1
for finite population

where
√ N −n
N −1
is the finite population correction factor

b. ℴႿ=
o
√ n for infinite population
 The Central Limit Theorem
 If random samples of size n are drawn from a population, then as n becomes larger, the sampling
distribution of the means approaches the normal distribution, regardless of the shape of the population
distribution.

POINT ESTIMATE
 An Estimate is a value that approximates a parameter. It is based on sample statistics computed
from sample data.
 In statistics, ESTIMATION IS the process of determining values parameter.
 The Confidence Level of an interval estimate of a parameter is the probability that the interval
estimate contains the parameter. It describes what percentage of intervals from many different
samples contains the unknown population parameter.
2
∑ ( x−x )
 Variance ( s ) : S =
2 2
n−1

√
2
∑ ( x −x )
 Standard deviation (S): S=
n−1
 An Interval Estimate, called a confidence interval, is a range of values that is used to estimate a
Parameter. This estimate may or may not contain the parameter value.
 The Confidence Level of an interval estimate of a parameter is the Probability that the interval
estimate contains the parameter. It describes what percentage of intervals from many different
samples contains the unknown population parameter.
 General formula for confidence intervals for large samples:

σ σ
Ⴟ-za/2( √ n ¿< µ< Ⴟ + ¿ za/2 ( √ n ¿ .

 Computing formula for error E:

σ
( ) s
E= za/2 √ n =¿ za/2 ( √ n ¿ .
 A Four Step Process in Computing the Interval Estimate.
Step 1. Describe the population parameter of interest (e.g., mean µ)
Step 2. Specify the confidence interval criteria.
a. Check the assumptions.
b. Determine the test statistic to be used.
c. State the level of confidence
Step 3. Collect and present sample evidence.
a. Collect the sample information
b. Find the point estimate.
Step4.Determine the confidence interval.
a. Determine the confidence coefficients (for a z or a t- distribution).
b. Find the maximum error E of the estimate.
c. find the lower and the upper confidence limits.
d. Describe/ interpret the results.

 The general expression for the confidence interval when σ is unknown is given by x−t ( √Sn )and
the distribution of values is called t-distribution
 The formula for computing the confidence interval using the t-Fdistribution is
x−t
( )S
√n
< µ< x+ t
( )
S
√n
 Proportion is the fraction expression where the favorable response is in the numerator and the
total number of respondents is in the denominator. The basic operation involves division. Thus,
the result is a decimal value that can be expressed as percent.
 The formula for computing a large sample confidence interval for a population proportion p is:

^p=z a ∕ 2
√ ^p q^
n
<p< ^p+ z a ∕ 2
√ ^p q^
n

 Formula in determining the minimum sample size needed when estimating the population mean:

( )
2
z a ∕ 2 ⋅σ
n= E

 Formula in determining the minimum sample size needed when estimating the population
proportion:

()
za 2
n= ^p q^ 2
E