POINT ESTIMATION

Is
  the process of finding a single
value called , from a random sample
of the population, to approximate a
population parameter.
Consider the population consisting of values
(6, 2, 8, 9, 3). Find the population mean.

OBSERVATION x
1 6
2 2
3 8
4 9
5 3
Consider some possible samples of size 2
Sample Sample Mean

(6, 2) 4

(6,8) 7

(6,9) 7.5

(6,3) 4.5
Consider some samples of size 3

Consider some samples of size 4

The following are the systolic blood
pressures of all teachers in a private high
school. Compute for the population mean.
120 110 120 130 120
130 112 125 120 130
120 120 130 110 120
140 115 125 130 115
145 120 123 140 130
110 140 140 120 120
160 120 135 130 125
130 130 140 120 110
125 150 125 110 125
115 120 130 120 130
Assume that the following systolic blood pressures were
randomly selected from the 50 observations. Compute for the
sample mean

120 112 120 130 120

140 115 130 110 130
145 140 123 140 115
110 150 140 120 130
130 120 130 120 130
CONFIDENCE INTERVAL
• a range of values so defined that there is a
specified probability that the value of a
parameter lies within it.

CONFIDENCE LEVEL
• Refers to the probability that the confidence
interval contains the true population parameter.
• Usually 90%, 95% and 99%
CONFIDENCE LEVEL
• 

WHERE =probability that the confidence interval

does not contain the true population parameter.
CRITICAL VALUE
• Is the value that indicates the point beyond
which lies the rejection region.
-This region does not contain the true
population parameter.
INTERVAL ESTIMATE OF POPULATION MEAN

•  FORMULA when

WHERE= mean of a random sample of size n

n= sample size

= z value of
CONFIDENCE INTERVAL
•  can be written as:

WHERE =population mean

E=margin of error
=lower confidence limit
=higher confidence limit
To find the Margin of Error
• 

Where = z score of the area

=standard deviation
=sample size
• The mean score of a random sample of 49 Grade
11 students who took the first periodic test is
calculated to be 78. the population variance is
known to be 0.16.

a. Find the 95% confidence interval for the mean

of the entire Grade 11 students.
b. Find the lower and upper confidence limits.
 Step 1. Find the value of
• 
Given
Confidence Level is 95%

FI09210097im.jpg
 Step 2. Find
• 
Step 3. Substitute the values of and E in
 the confidence interval.
• 

CONFIDENCE LEVEL

   𝛼 =0.025
2