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Review 2 92.1.9 Chapter 7: Compute the standard error and the probability of the sample mean x or the sample proportion p within some range. Different sampling methods. Example 1: MNM Corporation gives each of its employees an aptitude test. The scores on the test are normally distributed with a mean of 75 and a standard deviation of 15. A simple random sample of 25 is taken from a population of 500. (a) What is the probability that the average aptitude test score in the sample will be between 70.14 and 82.14? (b) What is the probability that the average aptitude test score in the sample will be greater than 82.68? (c) Find a value, C, such that P( x C) = .015. [solution:] (a) Since X n 15 25 3, P70.14 X 82.14 70.14 75 X X 75 82.14 75 P 3 3 3 X P 1.62 Z 2.38 0.9387 (b) 82.68 75 X X 75 P82.68 X P 3 X 3 P2.56 Z 0.0052 1 (c) X X 75 C 75 C 75 P Z PX C P 0.015 3 3 3 X C 75 2.17 C 75 2.17 3 81.51 3 Example 2: A new soft drink is being market tested. It is estimated that 60% of consumers will like the new drink. A sample of 96 taste-tested the new drink. (a) Determine the standard error of the proportion (b)What is the probability that more than 70.4% of consumers will indicate they like the drink? (c) What is the probability that more than 30% of consumers will indicate they do not like the drink? [solution:] (a) p 0.6, n 96, P 0.61 0.6 0.05 (since 96 np 57.6 5, n1 p 38.4 5 (b) 0.704 0.6 P p P 0.6 P0.704 P P 0 . 05 0 . 05 P P2.08 Z 0.0188 (c) We need to compute the probability that less than or equal to 70% of consumers will indicate they like the drink? P p P 0.6 0.7 0.6 PP 0.7 P 0 . 05 0 . 05 P PZ 2 0.9772 2 Example 3: Suppose we have a population of 40 elements 148 148 149 149 153 154 155 157 157 158 158 158 158 158 160 160 161 162 162 162 163 164 164 164 164 165 165 165 155 159 163 165 156 159 163 165 156 160 163 166 Suppose the first row of the table of random number is 63271 59986 71744 51102 15141 80714 58683 93108 13554 79945 Please use systematic sampling to obtain (a) a sample of 5 elements. (b) the sample mean and sample variance based on (a). [solution:] (a) 40/5=8. Thus, we need to divide the original data into 5 subsets and select 1 element from these subsets. The subsets are Subset 148 148 149 149 153 155 155 154 1 Subset 156 156 157 157 158 158 158 158 2 Subset 158 159 159 160 160 161 162 160 3 Subset 162 162 163 163 163 164 164 163 4 Subset 164 164 165 165 165 165 166 165 5 The first random number between 1 and 8 are 6. Therefore, the sample we select are 154, 158, 160, 163, and 165. (b) The sample mean is 3 x 154 158 160 163 165 160 5 and the sample variance is s2 154 1602 158 1602 160 1602 163 1602 165 1602 4 18.5 Chapter 8: Construct a 1 100% confidence intervals in large and small sample cases. Determine sample size based on the desired margin of error Example: 1. A random sample of 81 workers at a company showed that they work an average of 100 hours per month with a standard deviation of 27 hours. (a) Compute a 95% confidence interval for the mean hours per month all workers at the company work. (b) At 95% confidence, how many more workers need to be included in the sample to provide a confidence interval with length 4 (i.e., the margin of error being 2)? [solution:] (a) As 0.05 , x z 2 27 27 100 z0.025 100 1.96 94.12, 105.88 9 n 81 is a 95% confidence interval estimate of the population mean (b) Since E 2 , 4 . n z02.05 2 2 2 E 1.962 27 2 700.13 n 701 . 22 Thus, we need 701-81=620 more workers. 2. For a t distribution with 16 degrees of freedom, find the area of probability. (a) To the left of -1.746. (b) Between -1.337 and 2.120. [solution:] (a) P(T (16) 1.746) P(T (16) 1.746) 0.05 . (b) P(1.337 T (16) 2.120) 1 P(T (16) 2.12) P(T (16) 1.337) 1 0.025 P(T (16) 1.337) 1 0.025 0.1 0.875 5