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16 Cards in this Set

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Nominal/Categorical Data
It is not possible to calculate a sample mean so instead we can calculate the proportion of observations in the sample falling into a given category
Parameters
p = population proportion
q = 1-p
Statistics
p hat = sample proportion
q hat = 1- p hat
p hat =
number of successes in sample/n
Like sample mean, sample proportion can be viewed as ___________
a random variable
What we know about p hat:
- will have a mean equal to the population proportion (p)
- will have a variance equal to p x q/n
- will be approximately normally distributed for large n (if n x p os equal to or larger than 5 AND n x q is equal to or larger than 5)
What is the rule for proportions that determines if the data is approximately normally distributed?
n x p ≥ 5 AND n x q ≥ 5
Proportion notations
μ of p hat = p = mean of p hat
σ of p hat = √ (p x q)/n
What is √ (p x q)/n
standard deviation or standard error of proportion
How is the confidence interval represented?
p hat + and minus Z x √(p hat x q hat)/n
When can the normal distribution (Z -score) be used?
If n x p ≥ 5 AND n x q ≥ 5 AND binomial conditions hold
Interpretation of CI for one proportion
I am 95 % confident that the proportion of Queenstown visitors who are Australian is between ____% and ______%

OR

I estimate the proportion of Queenstown visitors who are Australian is _____% with a margin of error of ____%
Formula for margin of error for a proportion
B = Z x √(p hat x q hat)/n
Solve for n:
n = Z² x p hat x q hat/B²
What do we do if the survey hasn't been conducted yet and we don't have p?
Use p= 0.5; this gives worst-case scenario (i.e. largest sample size to meet the margin of error requirement regardless of the proportion) and maximises function: f(p) = p(1-p)
n=
(Z x s/B)²