Business Statistics Exam 4 Terms

Question 1

A continuous probability distribution for which the probability that the random variable will assume a value in any interval is the same for each interval of equal length

Answer 1

Uniform Probability Distribution

Question 2

A continuous probability distribution. Its probability density function is bell-shaped and determined by its mean and standard deviation

Answer 2

Normal Probability Distribution

Question 3

A normal distribution with a mean of zero and a standard deviation of one

Answer 3

Standard Normal Probability Distribution

Question 4

A continuous probability distribution that is useful in computing probabilities for the time it takes to complete a task

Answer 4

Exponential Probability Distribution

Question 5

A function used to compute probabilities for a continuous random. The area under the graph of a probability density function over an interval represents probability

Answer 5

Probability Density Function

Question 6

A numerical characteristic of a population, such as a population mean, a population standard deviation, a population proportion, and so on

Answer 6

Parameter

Question 7

A sample characteristic, such as a sample mean, a sample standard deviation, a sample proportion, and so on

Answer 7

Sample Statistic

Question 8

The value of a sample statistic used in a particular instance as an estimate of a population parameter

Answer 8

Point Estimate

Question 9

A property of a point estimator that is present when the expected value of the point estimator is equal to the population parameter it estimates

Answer 9

Unbiased

Question 10

The population for which statistical inferences such as point estimates are made

Answer 10

Target Population

Question 11

A property of a point estimator that is present whenever larger sample sizes tend to provide point estimates closer to the population parameter

Answer 11

Consistency

Question 12

Given two unbiased point estimators of the same population parameter, the point estimator with the smaller standard error is more efficient

Answer 12

Relative Efficiency

Question 13

The population from which the sample is taken

Answer 13

Sampled Population

Question 14

Once an element has been included in the sample, it is returned to the population. A previously selected element can be selected again and therefore may appear in the sample more than once

Answer 14

Sampling with Replacement

Question 15

Once an element has been included in the sample, it is removed from the population and cannot be selected a second time

Answer 15

Sampling without Replacement

Question 16

A sample of size n from a finite population of size N is selected such that each possible sample of size n has the same probability of being selected

Answer 16

Simple Random Sample

Question 17

A probability sampling method in which the population is first divided into strata and a simple random sample is then taken from each stratum

Answer 17

Stratified Random Sampling

Question 18

A probability sampling method in which we randomly select one of the first k elements and then select every kth element thereafter

Answer 18

Systematic Sampling

Question 19

A probability sampling method in which the population is first divided into clusters and then a simple random sample of the clusters is taken

Answer 19

Cluster Sampling

Question 20

A nonprobability method of sampling whereby elements are selected for the sample on the basis of ease of collection

Answer 20

Convenience Sampling

Question 21

A nonprobability method of sampling whereby elements are selected for the sample based on the expertise of the person doing the study

Answer 21

Judgment Sampling

Question 22

A probability distribution consisting of all possible values of a sample statistic

Answer 22

Sampling Distribution

Question 23

The standard deviation of a point estimator

Answer 23

Standard Error

Question 24

The term that is used in the formulas for and whenever a finite population, rather than an infinite population, is being sampled

Answer 24

Finite Population Correction Factor

Question 25

A theorem that enables one to use the normal probability distribution to approximate the sampling distribution of the sample mean whenever the sample is large

Answer 25

Central Limit Theorem