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CHAPTER 8 SAMPLING DISTRIBUTIONS Outline • Central limit theorem • Sampling distribution of the sample mean 1 CENTRAL LIMIT THEOREM Central Limit Theorem: If a random sample is drawn from any population, the sampling distribution of the sample mean is approximately normal for a sufficiently large sample size. The larger the sample size, the more closely the sampling distribution of x will resemble a normal distribution. 2 Sample Size and Mean 0.08 0.06 0.04 0.02 Class Number Distribution of random numbers 49 45 41 37 33 29 25 21 17 13 9 5 0 1 Relative Frequency 0.1 3 Sample Size and Mean 0.08 0.06 0.04 0.02 45 49 41 37 33 29 25 21 17 13 9 5 0 1 Relative Frequency 0.1 Class Number Distribution of means of n random numbers, n=4 4 Sample Size and Mean 0.08 0.06 0.04 0.02 49 45 41 37 33 29 25 21 17 13 9 5 0 1 Relative Frequency 0.1 Class Number Distribution of means of n random numbers, n=10 5 SAMPLING DISTRIBUTION OF THE SAMPLE MEAN • If the sample size increases, the variation of the sample mean decreases. x , 2 x 2 n , n • Where, = Population mean = Population standard deviation n = Sample size x = Mean of the sample means x = Standard deviation of the sample means 6 CENTRAL LIMIT THEOREM Example 1: An automatic machine in a manufacturing process requires an important sub-component. The lengths of the sub-component are normally distributed with a mean, =120 cm and standard deviation, =5 cm. What does the central limit theorem say about the sampling distribution of the mean if samples of size 4 are drawn from this population? 7 CENTRAL LIMIT THEOREM Example 2: An automatic machine in a manufacturing process requires an important sub-component. The lengths of the sub-component are normally distributed with a mean, =120 cm and standard deviation, =5 cm. Find the probability that one randomly selected unit has a length greater than 123 cm. f(x) 8 CENTRAL LIMIT THEOREM Example 3: An automatic machine in a manufacturing process requires an important sub-component. The lengths of the sub-component are normally distributed with a mean, =120 cm and standard deviation, =5 cm. Find the probability that, if four units are randomly selected, their mean length exceeds 123 cm. f(x) 9 CENTRAL LIMIT THEOREM Example 4: An automatic machine in a manufacturing process requires an important sub-component. The lengths of the sub-component are normally distributed with a mean, =120 cm and standard deviation, =5 cm. Find the probability that, if four units are randomly selected, all four have lengths that exceed 123 cm. 10 READING AND EXERCISES • Reading: pp. 289-298 • Exercises: 8.2, 8.4, 8.6 11