BQA 3123 Test 1: Questions With Correct
Solutions
Estimation process Correct Answer - the process to estimate a
target parameter of population
Target parameter Correct Answer - the unknown population
parameter
Point estimator Correct Answer - a rule or formula that tells us
how to use the sample data to calculate a single value that can be
used as an estimate of the target parameter
Confidence interval Correct Answer - a rule or formula that
tells us how to use sample data to calculate an interval that
estimates the target parameter. contains a confidence level, a
percentage, also known as a reliability coefficient
Conditions required for valid large-sample confidence interval
Correct Answer - 1. random sample selected from target
population
2. sample size is > 30
-Due to Central Limit Theorem, this condition guarantees that the
sampling distribution of X will be approximately normal. Also, large
n means that s will be a good estimator for sigma.
How to narrow a confidence interval Correct Answer - 1.
increase the sample size
2. decrease the confidence level
Central Limit Theorem Correct Answer - If you have a large
sample ( n > 30 ), normal distribution will occur.
Solutions
Estimation process Correct Answer - the process to estimate a
target parameter of population
Target parameter Correct Answer - the unknown population
parameter
Point estimator Correct Answer - a rule or formula that tells us
how to use the sample data to calculate a single value that can be
used as an estimate of the target parameter
Confidence interval Correct Answer - a rule or formula that
tells us how to use sample data to calculate an interval that
estimates the target parameter. contains a confidence level, a
percentage, also known as a reliability coefficient
Conditions required for valid large-sample confidence interval
Correct Answer - 1. random sample selected from target
population
2. sample size is > 30
-Due to Central Limit Theorem, this condition guarantees that the
sampling distribution of X will be approximately normal. Also, large
n means that s will be a good estimator for sigma.
How to narrow a confidence interval Correct Answer - 1.
increase the sample size
2. decrease the confidence level
Central Limit Theorem Correct Answer - If you have a large
sample ( n > 30 ), normal distribution will occur.