MATH03 | Statistics and Probability
MATHEMATICS and ABM CLUSTER
SCHOOL YEAR 2021 - 2022
Statistics and Probability
MATH03
Course Outcome 5
Quarter 03
Prepared by:
Engr. Diamante, Lenolan L.
Revised by:
Ipapo, Redwaynne Jester T.
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NAME: ____________________________________ TEACHER: ________________________
YEAR AND SECTION: _______________________ SCHEDULE: _______________________
Lesson Estimation of Parameters
1
(Interval Estimation)
COURSE OUTCOME BULLETIN
Objective: Discuss and apply comprehensively the basic concepts of estimation of parameters
(interval estimation).
Subject Matters:
Lesson 1. Interval Estimation
Lesson 1.1. Estimating Population Mean (Sigma Known)
Lesson 1.2. Estimating Population Proportion
Lesson 1.3. Estimating Population Mean (Sigma Unknown)
Lesson 1.4. Sample Size Determination
Learning Competencies:
I. Apply the basic concepts of estimation of parameters (interval estimation) to real world
problems.
Evaluation:
Performance Task: PT5A to be deployed on Blackboard (Week 17)
Written Work: WW5A to be deployed on ALEKS (Week 16)
What do I know? (Pre-test)
Choose the letter of the correct answer for each item.
1. It refers to an interval or range of values that is used to estimate parameter.
a. Point Estimate c. Range
b. Interval Estimate d. Standard Deviation
2. The following statements about interval estimate is true except one. Which is it?
a. Interval estimate may or may not contain the value of parameter being estimated
b. It is constructed around the point estimate.
c. It is constructed with a given confidence level
d. It always contain the true value of the parameter
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3. This refers to the probability that the population mean will fall outside the given confidence interval.
a. Confidence Level c. Confidence Interval
b. Level of Significance d. Interval Estimate
4. Given that the level of significance is 0.10, what will be the confidence level?
a. 10% c. 80%
b. 90% d. 20%
5. The mean age of a sample of 36 random shoppers in a particular grocery store is 34.5 years. Given
that the population standard deviation is 5.6, what is the best point estimate of the population mean
age of shoppers in a particular grocery store.
a. 40.1 years c. 34.5 years
b. 28.9 years d. 41 years
6. The mean age of a sample of 36 random shoppers in a particular grocery store is 34.5 years. Given
that the population standard deviation is 5.6, what is the standard error of the point estimate?
a. 0.9333 c. 0.0657
b. 0.1556 d. 0.3944
7. The mean age of a sample of 36 random shoppers in a particular grocery store is 34.5 years. Given
that the population standard deviation is 5.6, what is the margin of error of a 99% confidence interval
of the population mean?
a. 2.40 c. 1.02
b. 2.17 d. 0.92
8. The mean age of a sample of 36 random shoppers in a particular grocery store is 34.5 years. Given
that the population standard deviation is 5.6, what is two tailed 95% confidence interval of the
population mean?
a. 32.67 ≤ 𝜇 ≤ 36.33 c. 32.1 ≤ 𝜇 ≤ 36.9
b. 33.73 ≤ 𝜇 ≤ 35.27 d. 32.33 ≤ 𝜇 ≤ 36.67
9. A researcher uses the data of a sample of 10 College Faculty to estimate the mean age of College
Faculties in a university. Given the data below (in years), what is the margin of error of a 95%
confidence interval for the population mean?
30, 45, 44, 36, 50, 48, 58, 32, 28, 32
a. 6.21 c. 6.94
b. 6.40 d. 7.11
10. From Question 9, what is the two-tailed 95% confidence interval of the population mean?
a. 33.36 ≤ 𝜇 ≤ 47.24 c. 34.09 ≤ 𝜇 ≤ 46.51
b. 33.9 ≤ 𝜇 ≤ 46.7 d. 33.19 ≤ 𝜇 ≤ 47.41
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What is it?
1. Interval Estimation
An interval estimate of a parameter is an interval or a range of values used to estimate the
parameter. This estimate may or may not contain the value of the parameter being
estimated.
In interval estimation, an interval is constructed around the point estimate and it is stated that
this interval contains the corresponding population parameter with a certain confidence level.
The confidence level of an interval estimate of a parameter is the probability that the interval
estimate will contain the parameter, assuming that a large number of samples are selected
and that the estimation process on the same parameter is repeated.
A confidence interval is a specific interval estimate of a parameter determined by using data
obtained from a sample and by using the specific confidence level of the estimate.
Each interval is constructed with regard to a given confidence level and is called a confidence
interval. The confidence interval is given as
𝑃𝑜𝑖𝑛𝑡 𝑒𝑠𝑡𝑖𝑚𝑎𝑡𝑒 ± 𝑀𝑎𝑟𝑔𝑖𝑛 𝑜𝑓 𝑒𝑟𝑟𝑜𝑟
Note: The confidence level associated with a confidence interval states how much confidence
we have that this interval contains the true population parameter. The confidence level is
denoted by (1 − 𝛼)100%
1.1 Interval Estimation for Population mean (𝝁) [Case 1: 𝝈 is known]
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SINGLE SAMPLE: ESTIMATING THE MEAN
Confidence Interval on the Mean, Variance Known
If 𝑥̅ is the sample mean of a random sample of size n from a normal population with known
variance 𝜎 2 , a 100(1 − 𝛼)% CI on μ is given by
𝜎 𝜎
𝑥̅ − 𝑧(𝛼) ( ) ≤ 𝜇 ≤ 𝑥̅ + 𝑧(𝛼) ( )
2 √𝑛 2 √𝑛
where 𝑧α/2 is the upper 100(𝛼/2) percentage point of the standard normal distribution.
Retrieved from https://analystprep.com/cfa-level-1-
exam/quantitative-methods/confidence-intervals/, Sept 7, 2021
Retrieved from https://stats.stackexchange.com/questions/137237/n-tailed-confidence-intervals, Sept. 7, 2021
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Example
1. The scores of a random sample of 100 senior high school students on a standardized
Chemistry exam in school A gave a mean of 78 and a standard deviation of 20.
a. What is the best point estimate of the true average score in this standardized exam?
b. What is the standard error of this point estimate?
c. What is the margin of error or maximum allowable error?
d. Construct a 95% confidence interval estimate for the true average score in Chemistry
in this standardized exam.
e. If the average score in Chemistry in this standardized exam is 73 in school B, can you
conclude that there is a significant difference between the average scores in the
standardized Chemistry exam for the two schools?
Solution
a.
Note: The best point estimate in the problem is the mean.
𝜇̂ = 𝑋̅ = 78
b.
𝜎 20 20
𝑆𝑡𝑎𝑛𝑑𝑎𝑟𝑑 𝑒𝑟𝑟𝑜𝑟(𝑆. 𝐸. ) = = = =2
√𝑛 √100 10
c.
𝑀𝑎𝑟𝑔𝑖𝑛 𝑜𝑓 𝐸𝑟𝑟𝑜𝑟 = 𝐶𝑟𝑖𝑡𝑖𝑐𝑎𝑙 𝑣𝑎𝑙𝑢𝑒 𝑥̅ 𝑠𝑡𝑎𝑛𝑑𝑎𝑟𝑑 𝑒𝑟𝑟𝑜𝑟
Note: The Maximum allowable error is @99% confidence interval
The Critical value at 99% is 𝑧 = 2.575
𝜎
𝑀𝑎𝑟𝑔𝑖𝑛 𝑜𝑓 𝑒𝑟𝑟𝑜𝑟 = 𝑧𝛼 ( )
2 √𝑛
20
= 2.575 ( )
√100
= 5.15
d.
The Critical value at 95% is 𝑧 = 1.96 (Assume Two-Tail)
𝑥̅ − 𝑚𝑎𝑟𝑔𝑖𝑛 𝑜𝑓 𝑒𝑟𝑟𝑜𝑟 ≤ 𝜇 ≤ 𝑥̅ + 𝑚𝑎𝑟𝑔𝑖𝑛 𝑜𝑓 𝑒𝑟𝑟𝑜𝑟
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𝑥̅ − 𝑧𝛼 (𝑆. 𝐸. ) ≤ 𝜇 ≤ 𝑥̅ + 𝑧𝛼 (𝑆. 𝐸. )
2 2
78 − 1.96 (2) ≤ 𝜇 ≤ 78 + 1.96(2)
78 − 3.92 ≤ 𝜇 ≤ 78 + 3.92
74.08 ≤ 𝜇 ≤ 81.92
e. The sample mean for School B is 𝑋̅ = 73. Using this point estimate, the confidence
interval for the population mean score in Chemistry exam in School B is:
𝑥̅ − 𝑚𝑎𝑟𝑔𝑖𝑛 𝑜𝑓 𝑒𝑟𝑟𝑜𝑟 ≤ 𝜇 ≤ 𝑥̅ + 𝑚𝑎𝑟𝑔𝑖𝑛 𝑜𝑓 𝑒𝑟𝑟𝑜𝑟
𝑥̅ − 𝑧𝛼 (𝑆. 𝐸. ) ≤ 𝜇 ≤ 𝑥̅ + 𝑧𝛼 (𝑆. 𝐸. )
2 2
73 − 1.96 (2) ≤ 𝜇 ≤ 73 + 1.96(2)
73 − 3.92 ≤ 𝜇 ≤ 73 + 3.92
69.08 ≤ 𝜇 ≤ 76.92
Comparing the two confidence intervals, they have different lower bounds and upper
bounds. Though we can see that there is a difference between the average of scores in
Chemistry Exam for the two schools, we need to test if the difference is significant by
conducting hypothesis testing.
2. The life in hours of a 75 – watt bulb is known to be normally distributed with 𝜎 =
25 ℎ𝑜𝑢𝑟𝑠. A random sample of 20 bulbs has a mean life of 𝑥̅ = 1014 ℎ𝑜𝑢𝑟𝑠.
a. Construct a 95% two-sided confidence interval on the mean life.
b. Construct a 95% lower-confidence bound on the mean life. Compare the lower bound
of this confidence interval with the one in part a.
Solution:
a. The Critical value at 95% is 𝑧 = 1.96 (Two-Tail)
𝑥̅ − 𝑚𝑎𝑟𝑔𝑖𝑛 𝑜𝑓 𝑒𝑟𝑟𝑜𝑟 ≤ 𝜇 ≤ 𝑥̅ + 𝑚𝑎𝑟𝑔𝑖𝑛 𝑜𝑓 𝑒𝑟𝑟𝑜𝑟
𝜎 𝜎
𝑥̅ − 𝑧𝛼 ( ) ≤ 𝜇 ≤ 𝑥̅ + 𝑧𝛼 ( )
2 √𝑛 2 √𝑛
25 25
1014 − 1.96 ( ) ≤ 𝜇 ≤ 1014 + 1.96 ( )
√20 √20
1014 − 10.96 ≤ 𝜇 ≤ 1014 + 10.96
1003.04 ≤ 𝜇 ≤ 1024.96
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b. The Critical Value at 95% is 𝑧 = 1.645 (One Tail)
𝑥̅ − 𝑚𝑎𝑟𝑔𝑖𝑛 𝑜𝑓 𝑒𝑟𝑟𝑜𝑟 ≤ 𝜇
𝜎
𝑥̅ − 𝑧𝛼 ( ) ≤ 𝜇
√𝑛
25
1014 − 1.645 ( )≤𝜇
√20
1014 − 9.20 ≤ 𝜇
1004.80 ≤ 𝜇
The lower bound of this left-tailed interval is a different from the lower bound of the
two-tailed interval in a.
1.2 Interval Estimation for Population Proportion (𝒑)
Confidence Interval on Population proportion
If 𝑝̂ is the sample proportion of a random sample of size n from a normal population, a
100(1 − 𝛼)% CI on 𝑝 is given by
𝑝𝑞 𝑝𝑞
𝑝̂ − 𝑧(𝛼) (√ ) ≤ 𝜇 ≤ 𝑥̅ + 𝑧(𝛼) (√ )
2 𝑛 2 𝑛
𝛼
where 𝑧α/2 is the upper 100 ( 2 ) percentage point of the standard normal distribution.
Example
3. An auto company wanted to know the percentage of people who prefer to own safer cars (that
is, cars that possess more safety than features), even if they have to pay a few thousand dollars
more. A random sample of 500 persons showed that 44% of them will not mind paying a few
thousand dollars more to have safer cars.
a. What is the point estimate of the percentage of all people who prefer to own safer cars?
b. Construct a 90% confidence interval for the percentage of all people who will not mind
paying a few thousand dollars more to have safer cars.
Solution:
a. The best point estimate of the population proportion is the sample proportion.
𝑝 = 𝑝̂ = 44% = 0.44
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b.
𝑞̂ = 1 − 𝑝̂
𝑞̂ = 1 − 0.44
𝑞̂ = 0.56
𝑝̂ − 𝑚𝑎𝑟𝑔𝑖𝑛 𝑜𝑓 𝑒𝑟𝑟𝑜𝑟 ≤ 𝑝 ≤ 𝑝̂ + 𝑚𝑎𝑟𝑔𝑖𝑛 𝑜𝑓 𝑒𝑟𝑟𝑜𝑟
𝑝̂ 𝑞̂ 𝑝̂ 𝑞̂
𝑝̂ − 𝑧𝛼 (√ ) ≤ 𝑝 ≤ 𝑝̂ + 𝑧𝛼 (√ )
2 𝑛 2 𝑛
(0.44)(0.56) (0.44)(0.56)
0.44 − 1.645 (√ ) ≤ 𝑝 ≤ 0.44 + 1.645 (√ )
500 500
0.44 − 0.0365 ≤ 𝑝 ≤ 0.44 + 0.0365
0.4035 ≤ 𝑝 ≤ 0.4765
1.3 Interval Estimation for Population Mean (𝝁) [Case 2: 𝝈 is unknown]
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SINGLE SAMPLE: ESTIMATING THE MEAN
CONFIDENCE INTERVAL ON THE MEAN, VARIANCE UNKNOWN
̅ and s are the mean and standard deviation of a random sample from a normal distribution
If 𝒙
with unknown variance σ2, a 100(1 − α)% confidence interval on μ is given by
𝒔 𝒔
̅ − 𝒕(𝜶,𝒏−𝟏) (
𝒙 )≤𝝁≤𝒙
̅ + 𝒕(𝜶,𝒏−𝟏) ( )
𝟐 √𝒏 𝟐 √𝒏
where tα/2, n−1 is the upper 100(α/2) percentage point of the t distribution with n − 1 degrees of
freedom.
Example Retrieved from https://www.statisticshowto.com/probability-and-statistics/t-test/, Sept 7, 2021
4. Suppose that random sample of 10 students have the following grade in MATH05:
90, 93, 85, 77, 88, 80, 78, 83, 95, 90
a. Construct a 95% confidence interval for the true average grade in
Mathematics.
b. Does the 95% confidence interval constructed in Item A contain the average
grade of85? What does this imply?
Solution:
a.
∑𝑛𝑖=1 𝑥̅𝑖 90 + 93 + 85 + 77 + 88 + 80 + 78 + 83 + 95 + 90
𝑥̅ = = = 85.9
𝑛 10
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∑𝑛𝑖=1(𝑥̅𝑖 − 𝑥̅)2 356.9
𝑠=√ =√ = 6.297
𝑛−1 9
For the critical value at 95% confidence level, refer to the t-distribution table.
𝑑𝑓 = 𝑛 − 1
𝑑𝑓 = 9
𝛼 = 1 − 0.95 = 0.05
The critical value at 95% confidence interval, with 𝑑𝑓 = 9 is 𝑡 = 2.262 (Assume Two-tail)
𝑥̅ − 𝑚𝑎𝑟𝑔𝑖𝑛 𝑜𝑓 𝑒𝑟𝑟𝑜𝑟 ≤ 𝜇 ≤ 𝑥̅ + 𝑚𝑎𝑟𝑔𝑖𝑛 𝑜𝑓 𝑒𝑟𝑟𝑜𝑟
𝑠 𝑠
𝑥̅ − 𝑡𝛼,𝑛−1 ( ) ≤ 𝜇 ≤ 𝑥̅ + 𝑡𝛼,𝑛−1 ( )
2 √𝑛 2 √𝑛
6.297 6.297
85.9 − 2.262 ( ) ≤ 𝜇 ≤ 85.9 + 2.262 ( )
√10 √10
85.9 − 4.50 ≤ 𝜇 ≤ 85.9 + 4.50
81.40 ≤ 𝜇 ≤ 90.40
b. Does the 95% confidence interval constructed in Item A contain the average grade of 85? What
does this imply? Yes, the average grade of 85 is within the interval and it goes to show that the
mean of our Interval Estimation is located at 85.
5. The data below presents the travel time (in minutes) obtained from a sample of 8 college
students:
13.4 17.1 10.8 6.2 17.9 20.4 8.8 11.2
a. Construct a 95% confidence interval for the population mean.
b. What is the margin of error, assuming that 𝛼 = 0.10?
Solution:
a.
∑𝑛𝑖=1 𝑥̅𝑖 13.4 + 17.1 + 10.8 + 6.2 + 17.9 + 20.4 + 8.8 + 11.2
𝑥̅ = = = 13.225
𝑛 8
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∑𝑛𝑖=1(𝑥̅𝑖 − 𝑥̅ )2 167.295
𝑠=√ =√ = 4.889
𝑛−1 7
For the critical value at 95% confidence level, refer to the t-distribution table.
𝑑𝑓 = 8 − 1
𝑑𝑓 = 7
𝛼 = 1 − 0.95 = 0.05
The critical value at 95% confidence interval, with 𝑑𝑓 = 7 is 𝑡 = 2.365 (Assume Two-tail)
𝑥̅ − 𝑚𝑎𝑟𝑔𝑖𝑛 𝑜𝑓 𝑒𝑟𝑟𝑜𝑟 ≤ 𝜇 ≤ 𝑥̅ + 𝑚𝑎𝑟𝑔𝑖𝑛 𝑜𝑓 𝑒𝑟𝑟𝑜𝑟
𝑠 𝑠
𝑥̅ − 𝑡𝛼,𝑛−1 ( ) ≤ 𝜇 ≤ 𝑥̅ + 𝑡𝛼,𝑛−1 ( )
2 √𝑛 2 √𝑛
4.889 4.889
13.225 − 2.365 ( ) ≤ 𝜇 ≤ 13.225 + 2.365 ( )
√8 √8
13.225 − 4.088 ≤ 𝜇 ≤ 13.225 + 4.088
9.137 ≤ 𝜇 ≤ 17.313
b. For the critical value at 𝛼 = 0.10 refer to the t-distribution table.
𝑑𝑓 = 8 − 1
𝑑𝑓 = 7
The critical value at 𝛼 = 0.10, with 𝑑𝑓 = 7 is 𝑡 = 1.895 (Assume Two-tail)
𝑠
𝑀𝑎𝑟𝑔𝑖𝑛 𝑜𝑓 𝑒𝑟𝑟𝑜𝑟 = 𝑡𝛼,𝑛−1 ( )
2 √𝑛
4.889
𝑀𝑎𝑟𝑔𝑖𝑛 𝑜𝑓 𝑒𝑟𝑟𝑜𝑟 = 1.895 ( )
√8
𝑀𝑎𝑟𝑔𝑖𝑛 𝑜𝑓 𝑒𝑟𝑟𝑜𝑟 = 3.276
6. The data below presents the age of 9 sample underemployed college graduates
26, 32, 24, 35, 30, 28, 25, 25, 31
a. Construct a 99% confidence interval for the population mean.
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b. What is the margin of error, assuming that 𝛼 = 0.05?
Solution:
a.
∑𝑛𝑖=1 𝑥̅𝑖 26 + 32 + 24 + 35 + 30 + 28 + 25 + 25 + 31
𝑥̅ = = = 28.44
𝑛 9
∑𝑛𝑖=1(𝑥̅𝑖 − 𝑥̅)2 114.2222
𝑠=√ =√ = 3.779
𝑛−1 8
For the critical value at 95% confidence level, refer to the t-distribution table.
𝑑𝑓 = 9 − 1
𝑑𝑓 = 8
𝛼 = 1 − 0.99 = 0.01
The critical value at 99% confidence interval, with 𝑑𝑓 = 8 is 𝑡 = 3.355 (Assume Two-tail)
𝑥̅ − 𝑚𝑎𝑟𝑔𝑖𝑛 𝑜𝑓 𝑒𝑟𝑟𝑜𝑟 ≤ 𝜇 ≤ 𝑥̅ + 𝑚𝑎𝑟𝑔𝑖𝑛 𝑜𝑓 𝑒𝑟𝑟𝑜𝑟
𝑠 𝑠
𝑥̅ − 𝑡𝛼,𝑛−1 ( ) ≤ 𝜇 ≤ 𝑥̅ + 𝑡𝛼,𝑛−1 ( )
2 √𝑛 2 √𝑛
3.779 3.779
28.44 − 3.355 ( ) ≤ 𝜇 ≤ 28.44 + 3.355 ( )
√9 √9
28.44 − 4.23 ≤ 𝜇 ≤ 28.44 + 4.23
24.21 ≤ 𝜇 ≤ 32.67
b. For the critical value at 𝛼 = 0.0.5 refer to the t-distribution table.
𝑑𝑓 = 9 − 1
𝑑𝑓 = 8
The critical value at 𝛼 = 0.05, with 𝑑𝑓 = 8 is 𝑡 = 2.306 (Assume Two-tail)
𝑠
𝑀𝑎𝑟𝑔𝑖𝑛 𝑜𝑓 𝑒𝑟𝑟𝑜𝑟 = 𝑡𝛼,𝑛−1 ( )
2 √𝑛
3.779
𝑀𝑎𝑟𝑔𝑖𝑛 𝑜𝑓 𝑒𝑟𝑟𝑜𝑟 = 2.306 ( )
√9
𝑀𝑎𝑟𝑔𝑖𝑛 𝑜𝑓 𝑒𝑟𝑟𝑜𝑟 = 2.905
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1.4 Sample Size Determination
Another way of determining a proper sample size for a research study is through the knowledge
of interval estimate. Given an associated confidence level, margin of error, and a known
parameter value, we can determine a proper sample size.
In determining sample size, it depends on whether the involved parameter in your study is the
population mean or population proportion.
Example:
7. An alumni association wants to estimate the mean debt of this year's college graduates. It is
known that the population standard deviation of the debts of this year's college graduates is
PhP11,800. How large a sample should be selected so that a 99% confidence interval of the
estimate is within PhP800 of the population mean?
Solution:
𝑧2𝜎2 𝑧𝜎 2
𝑛= = ( )
𝐸2 𝐸
𝑧 = 2.575, 𝜎 = 11,800, 𝐸 = 800
2.575(11,800) 2
𝑛= ( )
800
𝑛 = 1443
8. The life in hours of a 75-watt bulb is known to be normally distributed with 𝜎 = 25 hours.
Suppose that we wanted the total width of the two-sided confidence interval on mean life to be
six hours at 95% confidence. What sample size should be used?
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Solution:
𝑧𝜎 2
𝑛=( )
𝐸
𝑧 = 1.96, 𝜎 = 25, 𝐸 = 3
1.96(25) 2
𝑛= ( )
3
𝑛 = 267
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Example:
9. To estimate the next president's final approval rating, how many people should be sampled so
that the margin of error is 3%, (a popular choice), with 95% confidence?
a. Use an educated guess 𝑝 = 0.25
b. Use conservative approach.
Solution:
a.
𝑧 2 𝑝𝑞
𝑛=
𝐸2
(1.96)2 (0.25)(0.75)
𝑛=
(0.03)2
𝑛 = 801
b.
𝑧2
𝑛=
4𝐸 2
(1.96)2
𝑛=
4(0.03)2
𝑛 = 1068
10. A researcher wants to estimate the proportion of high school students that prefer face-to-
face classes as mode of learning this coming school year 2021-2022. Assuming that the margin of
error is 3%, and the confidence level is 99%, what will be the appropriate sample size the
researcher must use?
a. Use an educated guess 𝑝 = 0.22
b. Use conservative approach.
Solution:
a.
𝑧 2 𝑝𝑞
𝑛=
𝐸2
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(2.575)2 (0.22)(0.78)
𝑛=
(0.05)2
𝑛 = 456
b.
𝑧2
𝑛=
4𝐸 2
(2.575)2
𝑛=
4(0.05)2
𝑛 = 664
What’s more?
Solve the following problems.
1. Supposed that out of 600 random sample of Grade 12 students, 360 of them thinks that
they are not yet ready to enter college.
a. Estimate the true population proportion of Grade 12 students who think that they are
not yet ready to enter college.
b. Construct a 95% confidence interval of the true population proportion of grade 12
students who think that they are not yet ready for college.
c. What will be the margin of error given that 𝛼 = 0.10?
2. The fuel consumption of a specific model of a car is believed to be normally distributed with
a population standard deviation 𝜎 = 4.5 𝑘𝑚/𝐿. The company wants to estimate the
population mean fuel consumption of the specific model of a car.
a. What sample size should the company used so that the 95% confidence interval is
within 3.5 km/L within the population mean?
b. What sample size should the company used so that the 99% confidence interval is
within 3.2 km/L within the population mean?
c. What sample size should the company used so that the 90% confidence interval is
within 2.8 km/L within the population mean?
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What I have learned
In five sentences, write down the challenges you have experienced in learning about estimation of
parameters (interval estimation), and what did you do to overcome these challenges?
What I can do
Solve the following problems.
1. An environmentalist is conducting a study of the polar bear. He wants to estimate the mean
weight of it using ten sample weights (in kg) of polar bears below.
960, 860, 1030, 1000, 940, 980, 950, 990, 850, 1030
Given that the population standard deviation is 𝜎 = 16 𝑘𝑔,
a. What is the best estimate of the true population mean weight of polar bears?
b. Construct a 90% confidence interval of the true population mean weight of polar bears.
c. What will be the margin of error given that 𝛼 = 0.01?
2. A farmer wants to know the average amount of milk his cows can produce in a day. He
wants to estimate it using a sample of eight cow’s milk production (in liters)
18, 22, 15, 21, 11, 17, 14, 16
a. Assuming that milk production of cows is approximately normally distributed, what is
the best point estimate for the true average amount of milk his cows can produce in a
day?
b. Construct a 99% confidence interval of the true average amount of milk his cows can
produce in a day.
c. What will be the margin of error given that 𝛼 = 0.05?
Assessment (Post-test)
Choose the letter of the correct answer for each item.
1. It refers to an interval or range of values that is used to estimate parameter.
a. Point Estimate c. Range
b. Interval Estimate d. Standard Deviation
2. The following statements about interval estimate is true except one. Which is it?
a. Interval estimate may or may not contain the value of parameter being estimated
b. It is constructed around the point estimate.
c. It is constructed with a given confidence level
d. It always contain the true value of the parameter
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3. This refers to the probability that the population mean will fall outside the given confidence interval.
a. Confidence Level c. Confidence Interval
b. Level of Significance d. Interval Estimate
4. Given that the level of significance is 0.10, what will be the confidence level?
a. 10% c. 80%
b. 90% d. 20%
5. The mean age of a sample of 36 random shoppers in a particular grocery store is 34.5 years. Given
that the population standard deviation is 5.6, what is the best point estimate of the population mean
age of shoppers in a particular grocery store.
a. 40.1 years c. 34.5 years
b. 28.9 years d. 41 years
6. The mean age of a sample of 36 random shoppers in a particular grocery store is 34.5 years. Given
that the population standard deviation is 5.6, what is the standard error of the point estimate?
a. 0.9333 c. 0.0657
b. 0.1556 d. 0.3944
7. The mean age of a sample of 36 random shoppers in a particular grocery store is 34.5 years. Given
that the population standard deviation is 5.6, what is the margin of error of a 99% confidence interval
of the population mean?
a. 2.40 c. 1.02
b. 2.17 d. 0.92
8. The mean age of a sample of 36 random shoppers in a particular grocery store is 34.5 years. Given
that the population standard deviation is 5.6, what is two tailed 95% confidence interval of the
population mean?
a. 32.67 ≤ 𝜇 ≤ 36.33 c. 32.1 ≤ 𝜇 ≤ 36.9
b. 33.73 ≤ 𝜇 ≤ 35.27 d. 32.33 ≤ 𝜇 ≤ 36.67
9. A researcher uses the data of a sample of 10 College Faculty to estimate the mean age of College
Faculties in a university. Given the data below (in years), what is the margin of error of a 95%
confidence interval for the population mean?
30, 45, 44, 36, 50, 48, 58, 32, 28, 32
a. 6.21 c. 6.94
b. 6.40 d. 7.11
10. From Question 9, what is the two-tailed 95% confidence interval of the population mean?
a. 33.36 ≤ 𝜇 ≤ 47.24 c. 34.09 ≤ 𝜇 ≤ 46.51
b. 33.9 ≤ 𝜇 ≤ 46.7 d. 33.19 ≤ 𝜇 ≤ 47.41
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Education.
Elementary Statistics: A Step By Step Approach 10th Edition by Allan Bluman. McGraw-Hill
References
Assessment What I can do What’s more? What do I know?
1. b 1. a. 959 1. a. 0.60 1. b
2. d b. 950.68 ≤ 𝜇 ≤ 967.32 b. 0.5608 ≤ 2. d
3. b c. 13.03 𝑝 ≤ 0.6392 3. b
4. b 2. a. 16.75 c. 0.0329 4. b
5. c b. 12.28 ≤ 𝜇 ≤ 21.22 2. a. n=7 5. c
6. a c. 3.02 b. n=14 6. a
7. a c. n=7 7. a
8. a 8. a
9. c 9. c
10. a 10. a
Answer Key
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