File: ch08, Chapter 8: Statistical Inference: Estimation for Single Populations

True/False

1. A statistic taken from a sample that is used to estimate a population parameter is called a point estimate. Ans: True Response: See section 8.1 Estimating the Population Mean Using the z Statistic ( Known) Difficulty: Easy

2. An interval estimate is a range of values around the point estimate. Ans: True Response: See section 8.1 Estimating the Population Mean Using the z Statistic ( Known) Difficulty: Easy

3. The width of the confidence interval depends only on the desired level of confidence. Ans: False Response: See section 8.1 Estimating the Population Mean Using the z Statistic ( Known) Difficulty: Medium

4. The width of the confidence interval around the point estimate depends on the desired level of confidence and the variability in the population. Ans: True Response: See section 8.1 Estimating the Population Mean Using the z Statistic ( Known) Difficulty: Hard

5. A 95% confidence interval for the population mean implies that the probability that the population mean lies within this interval is 0.95. Ans: False Response: See section 8.1 Estimating the Population Mean Using the z Statistic ( Known) Difficulty: Hard

6. All other things remaining the same, use of the finite correction factor in interval estimation will increase the width of the interval. Ans: False Response: See section 8.1 Estimating the Population Mean Using the z Statistic ( Known) Difficulty: Medium

7. When population standard deviation is unknown, sample standard deviation is used and the interval estimation is based on values from the t- rather than the z-distribution Ans: True Response: See section 8.2 Estimating the Population Mean Using the t Statistic ( Unknown) Difficulty: Medium

8. A statistical technique is said to be robust, if it is relatively insensitive to minor violations in one or more of the assumptions underlying it. Ans: True Response: See section 8.2 Estimating the Population Mean Using the t Statistic ( Unknown) Difficulty: Medium

9. The point estimate of the population proportion is the sample median. Ans: False Response: See section 8.3 Estimating the Population Proportion Difficulty: Medium

10. The statistical technique based on the chi-square statistic for the interval estimation of the population variance is robust. Ans: False Response: See section 8.4 Estimating the Population Variance Difficulty: Hard

Multiple Choice

11. A statistic calculated from sample data and used to estimate a population parameter is called _____________. a) an singular estimate b) a point estimate c) a statistical parameter d) an interval estimate e) a range estimate Ans: b Response: See section 8.1 Estimating the Population Mean Using the z Statistic ( Known) Difficulty: Easy

12. A range of values around the statistic calculated from sample data and used to estimate a population parameter is called _____________. a) an singular estimate b) a point estimate c) a statistical parameter d) an interval estimate e) a range estimate Ans: d Response: See section 8.1 Estimating the Population Mean Using the z Statistic ( Known) Difficulty: Easy

13. The z value for a 98% confidence interval around the point estimate is _______.

a) 1.28 b) 1.8645 c) 1.96 d) 2.33 e) 2.575 Ans: d Response: See section 8.1 Estimating the Population Mean Using the z Statistic ( Known) Difficulty: Easy

14. A random sample of 49 selected from a population with a standard deviation of 14 yielded a mean = 125. The mean and the standard deviation of the distribution of the sample means are ____________. a) 125 and 14 b) 125 and 2 c) 125 and 49 d) 120 and 2 e) 125 and 1.33 Ans: b Response: See section 8.1 Estimating the Population Mean Using the z Statistic ( Known) Difficulty: Medium

15. Suppose a random sample of 49 is selected from a population with a standard deviation of 14. If the sample mean is 125, the 99% confidence interval to estimate the population mean is between ____________. a) 119.85 and 130.15 b) 119.85 and 135.15 c) 118.00 and 132.00 d) 120.00 and 130.00 e) 119.85 and 133.15 Ans: a Response: See section 8.1 Estimating the Population Mean Using the z Statistic ( Known) Difficulty: Medium

16. Suppose a random sample of 49 is selected from a population of size N = 500 with a standard deviation of 14. If the sample mean is 125, the 99% confidence interval to estimate the population mean is between ____________. a) 119.85 and 130.15 b) 119.85 and 135.15 c) 118.00 and 132.00 d) 120.10 and 129.90 e) 119.85 and 129.90 Ans: d Response: See section 8.1 Estimating the Population Mean Using the z Statistic ( Known) Difficulty: Hard

17 Suppose a random sample of 25 is drawn from a population whose standard deviation is unknown. If the sample mean is 125 and the sample standard deviation is 10, the 90% confidence interval to estimate the population mean is between ____________. a) 121.578 and 130.156 b) 121.578 and 128.422 c) 118.048 and 132.008 d) 120.108 and 129.908 e) 119.858 and 129.908 Ans: b Response: See section 8.2 Estimating the Population Mean Using the t Statistic ( Unknown) Difficulty: Hard

18. A department store finds that in a random sample of 100 customers, 40% had of the sampled customers had browsed its website prior to visiting the store. Based on this data, a 95% confidence interval for the population proportion of customers that browse the stores website prior to visiting the store will be between _________________ .

a) 0.400 and 0.495 b) 0.480 and 0.520 c) 0.500 and 0.540 d) 0.452 and 0.525 e) 0.304 and 0.496 Ans: e Response: See section 8.3 Estimating the Population Proportion Difficulty: Medium

19. A bank manager wants to estimate the population variance of the daily deposits into the savings account at the bank. A random sample of 14 deposits had a mean of $350 and a standard deviation of $64. What is the point estimate for the population variance? a) 8 b) 14 c) 64 d) 4096 e) 4900 Ans: d Response: See section 8.4 Estimating the Population Variance Difficulty: Medium

20. The formula to determine the sample size for the estimation of the population proportion to yield a desired error of estimation requires the value of p, the population proportion. When the value of p is unknown, researchers use a value of _______.

a) 0.15 b) 0.25 c) 0.50 d) 0.75 e) 0.95 Ans: c Response: See section 8.5 Estimating Sample Size Difficulty: Medium