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Statistical Intervals for a Single Sample�

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Confidence Interval and its Properties

2

A confidence interval estimate for μ is an interval of the form

l ≤ μ ≤ u,

where the end-points l and u are computed from the sample data.

There is a probability of 1 − α of selecting a sample for which the CI will contain the true value of μ.

The endpoints or bounds l and u are called lower- and upper-confidence limits ,and 1 − α is called the confidence coefficient.

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Confidence Interval on the Mean, Variance Known

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If is the sample mean of a random sample of size n from a normal population with known variance σ2, a 100(1 − α)% CI on μ is given by

 

 

where zα/2 is the upper 100α/2 percentage point of the standard normal distribution.

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EXAMPLE Metallic Material Transition

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Ten measurements of impact energy (J) on specimens of A238 steel cut at 60°C are as follows: 64.1, 64.7, 64.5, 64.6, 64.5, 64.3, 64.6, 64.8, 64.2, and 64.3. The impact energy is normally distributed with σ = 1J. Find a 95% CI for μ, the mean impact energy.

The required quantities are zα/2 = z0.025 = 1.96, n = 10, σ = l, and .

The resulting 95% CI is found as follows:

Interpretation: Based on the sample data, a range of highly plausible values for mean impact energy for A238 steel at 60°C is

63.84J ≤ μ ≤ 65.08J

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Sample Size for Specified Error on the Mean, Variance Known

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If is used as an estimate of μ, we can be

100(1 − α)% confident that the error will not exceed a specified amount E when the sample size is

 

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One-Sided Confidence Bounds

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A 100(1 − α)% upper-confidence bound for μ is

 

and a 100(1 − α)% lower-confidence bound for μ is

 

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Example One-Sided Confidence Bound

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The same data for impact testing are used

to construct a lower, one-sided 95% confidence interval for the mean impact energy.

Recall that zα = 1.64, n = 10, σ = l, and .

A 100(1 − α)% lower-confidence bound for μ is

 

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A Large-Sample Confidence Interval for μ

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When n is large, the quantity

has an approximate standard normal distribution. Consequently,

is a large sample confidence interval for μ, with confidence level of approximately 100(1 − α)%.

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Example Mercury Contamination

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A sample of fish was selected from 53 Florida lakes, and mercury concentration in the muscle tissue was measured . The mercury concentration values were

1.230

1.330

0.040

0.044

1.200

0.270

0.490

0.190

0.830

0.810

0.710

0.500

0.490

1.160

0.050

0.150

0.190

0.770

1.080

0.980

0.630

0.560

0.410

0.730

0.590

0.340

0.340

0.840

0.500

0.340

0.280

0.340

0.750

0.870

0.560

0.170

0.180

0.190

0.040

0.490

1.100

0.160

0.100

0.210

0.860

0.520

0.650

0.270

0.940

0.400

0.430

0.250

0.270

Find an approximate 95% CI on μ.

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10

The summary statistics for the data are as follows:

Variable

N

Mean

Median

StDev

Minimum

Maximum

Q1

Q3

Concentration

53

0.5250

0.4900

0.3486

0.0400

1.3300

0.2300

0.7900

Example Mercury Contamination (continued)

Because n > 40, the assumption of normality is not necessary to use .

The required values are , and z0.025 = 1.96.

The approximate 95% CI on μ is

 

Interpretation: This interval is fairly wide because there is variability in the mercury concentration measurements. A larger sample size would have produced a shorter interval.

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The t distribution

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Let X1, X2, …, Xn be a random sample from a normal distribution with unknown mean μ and unknown variance σ2. The random variable

 

 

has a t distribution with n − 1 degrees of freedom.

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The Confidence Interval on Mean, Variance Unknown

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If and s are the mean and standard deviation of a random sample from a normal distribution with unknown variance σ2, a 100(1 α)% confidence interval on μ is given by

where tα/2,n−1 the upper 100α/2 percentage point of the t distribution with n − 1 degrees of freedom.

One-sided confidence bounds on the mean are found by replacing tα/2,n-1 with t α,n-1.

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Example Alloy Adhesion

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Construct a 95% CI on μ to the following data.

The sample mean is and sample standard deviation is s = 3.55.

Since n = 22, we have n − 1 =21 degrees of freedom for t, so t0.025,21 = 2.080.

The resulting CI is

Interpretation: The CI is fairly wide because there is a lot of variability in the measurements. A larger sample size would have led to a shorter interval.

19.8

10.1

14.9

7.5

15.4

15.4

15.4

18.5

7.9

12.7

11.9

11.4

11.4

14.1

17.6

16.7

15.8

19.5

8.8

13.6

11.9

11.4

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14

Let X1, X2, …, Xn be a random sample from a normal distribution with mean μ and variance σ2, and let S2 be the sample variance. Then the random variable

 

 

has a chi-square (χ2) distribution with n − 1 degrees of freedom.

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Confidence Interval on the Variance and Standard Deviation

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If s2 is the sample variance from a random sample of n observations from a normal distribution with unknown variance σ2, then a 100(1 – α)% confidence interval on σ2 is

 

 

where and are the upper and lower 100α/2 percentage points of the chi-square distribution with

n – 1 degrees of freedom, respectively.

A confidence interval for σ has lower and upper limits that are the square roots of the corresponding limits.

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One-Sided Confidence Bounds

The 100(1 – α)% lower and upper confidence bounds on σ2 are

 

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Example Detergent Filling

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An automatic filling machine is used to fill bottles with liquid detergent. A random sample of 20 bottles results in a sample variance of fill volume of s2 = 0.01532. Assume that the fill volume is approximately normal. Compute a 95% upper confidence bound.

A 95% upper confidence bound is found as follows:  

 

 

 

A confidence interval on the standard deviation σ can be obtained by taking the square root on both sides, resulting in

 

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Approximate Confidence Interval on a Binomial Proportion �

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If is the proportion of observations in a random sample of size n, an approximate 100(1 − α)% confidence interval on the proportion p of the population is

 

where zα/2 is the upper α/2 percentage point of the standard normal distribution.

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Example 8 Crankshaft Bearings

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In a random sample of 85 automobile engine crankshaft bearings, 10 have a surface finish that is rougher than the specifications allow. Construct a 95% two-sided confidence interval for p.

A point estimate of the proportion of bearings in the population that exceeds the roughness specification is .

A 95% two-sided confidence interval for p is computed as

 

 

 

 

Interpretation: This is a wide CI. Although the sample size does not appear to be small (n = 85), the value of is fairly small, which leads to a large standard error for contributing to the wide CI.

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Approximate One-Sided Confidence Bounds on a Binomial Proportion

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The approximate 100(1 − α)% lower and upper confidence bounds are

 

 

respectively.

 

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Tolerance and Prediction Intervals�

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Prediction Interval for Future Observation

The prediction interval for Xn+1 will always be longer than the confidence interval for μ.

A 100 (1 − α)% prediction interval (PI) on a single future observation from a normal distribution is given by

 

 

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Example Alloy Adhesion

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The load at failure for n = 22 specimens was observed, and found that and s = 3.55. The 95% confidence interval on μ was 12.14 ≤ μ 15.28. Plan to test a 23rd specimen.

A 95% prediction interval on the load at failure for this specimen is

 

 

 

Interpretation: The prediction interval is considerably longer than the CI. This is because the CI is an estimate of a parameter, but the PI is an interval estimate of a single future observation.