Review the chapter readings of this week and reflect the following terms and applicability and significance of each:
● Sampling distribution and central limit theorem. Include hypothetical examples for better clarity.
● What is a z statistic and what qualifies a statistic to be z statistic based on the central limit theorem and the basic properties of normal distributions? What are the limitations of the central limit theorem, and how are some of these limitations bypassed?
● What test statistic is used for constructing a confidence interval on the population’s proportion?
● Why and when is the t statistic used in constructing a confidence interval for the mean of a population?
Sample Solution