Sampling Distribution
Sampling Distribution
Sampling Distribution
• What is a sample?
• Why a sample?
• What are some common sampling methods? (Non random or Judgment and Random or
Probability)
• Systematic Sampling
• Stratified Sampling
• Cluster Sampling
• Standard error
Sampling Distributions
Assume the (large) population of IQs of all students in the district of Anantapur. We
know its normally distributed with a mean of 67 (out of 100) and a standard deviation
of 11. if a sample of 100 student IQs is picked from this population what is the
probability that the mean of this sample will lie between 65 and 75? What is the
chance the mean will be more than 90?
Sampling Distributions
Thus far only the sampling distribution of the mean for a normally distributed population has
been considered. However, in many instances, either you know that the population is not
normally distributed or it is unrealistic to assume that the population is normally distributed.
The Central Limit Theorem states that as the sample size (that is, the number
of values in each sample) gets large enough, the sampling distribution of the
mean is approximately normally distributed. This is true regardless of the
shape of the distribution of the individual values in the population.
Sampling Distributions
2. If the population distribution is fairly symmetric, the sampling distribution of the mean is
approximately normal for samples as small as 5.
The distribution of annual earnings of all bank tellers with five years’ experience is skewed
negatively (hence not normal). The distribution is known to have a mean of $19,000 and a
standard deviation of $2,000. If we draw a random sample of 30 tellers, what is the
probability that their earnings will average more than $19,750 annually?
The U.S. Census Bureau announced that the median sales price of new houses sold in March
2006 was $224,200, while the mean sales price was $279,100
(www.census.gov/newhomesales, April 26, 2006). Assume that the standard deviation of the
prices is $90,000.
a. If you select samples of n = 2, describe the shape of the sampling distribution of X Bar
b. If you select samples of n = 100, describe the shape of the sampling distribution of X Bar
c. If you select a random sample of n = 100, what is the probability that the sample mean will
be less than $250,000?
Sampling Distributions
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