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Where B = 2

Question 7 (10 marks) (a) A population of size 20 is sampled without replacement. The standard deviation of the population is

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Answer #1

Solution:

a)

\rightarrow Assuming population size is large

\rightarrow Standard error of mean =  \sigma /\sqrt{n} = 0.15

0.35 /\sqrt{n}=0.15

n=5.44\approx \approx 6

\rightarrow Sample size = 6

b)

Given that :

\rightarrow n=30

\rightarrow Sample standard deviation s=10

\rightarrow 95% confidence interval for standard deviation is

CI=[\sqrt{\frac{(n-1)s^{2}}{x_{\alpha /2,n-1}^{2}}}<\sigma <\sqrt{\frac{(n-1)s^{2}}{x_{1-\alpha /2,n-1}^{2}}}]

=[\sqrt{\frac{29*100}{45.7223}<\sigma <\sqrt{\frac{29*100}{16.0471}}}]

=7.9641<\sigma <13.4431

\rightarrow 95% confidence interval for standard deviation is 7.96 to 13.44

\Rightarrow 7.96<\sigma <13.44

\rightarrow  Chi square critical values are obtained from chi square table with 29 degree of freedom.

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