Sample Tests for a Population Mean

This section talks about using the central limit theorem to test a population mean when the sample size is large. It also addresses how to interpret the test results in the application background. Then, it discusses testing a population mean when the sample size is small, outlines a five-step testing procedure, and illustrates the procedure with an example. Study the example carefully and complete the relevant exercises and applications. Finally, it talks about large sample tests for a population proportion. The critical value and p-value approach are introduced based on a standardized test statistic.

Large Sample Tests for a Population Mean

KEY TAKEAWAYS

  • There are two formulas for the test statistic in testing hypotheses about a population mean with large samples. Both test statistics follow the standard normal distribution.
  • The population standard deviation is used if it is known, otherwise the sample standard deviation is used.
  • The same five-step procedure is used with either test statistic.