GENG 200

Probability and Statistics

Quick Recap of Chapters

7,8 and 9
Hypothesis Testing Examples
 Quick Recap of Objectives

1. Explain the general concepts of estimating the

parameters of a population or a probability
distribution.

2. Explain the important role of the normal distribution

as a sampling distribution.

3. Apply the central limit theorem in appropriate

scenarios.

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 Quick Recap of Objectives

1. Explain important properties of point estimators,

including bias, variance, and mean square error.

2. Know how to construct point estimators using

the method of moments.

3
 Quick Recap of Objectives

1. The concept of interval estimation instead of

point estimation.
2. The construction of a confidence interval, CI,
with a particular confidence level, CL, using
defined number of samples, n.
3. Confidence Interval for estimation of mean
when variance is known.
4. Relation between CI, CL and n and precision of
estimation.
5. Single sided and double sided Cis.

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 Quick Recap of Objectives

1. Hypothesis testing concepts: null hypothesis,

alternative hypothesis, hypothesis testing,
acceptance region, critical region
2. Hypothesis testing on the mean of Normal
population: (i) find the sample mean, (ii) define
acceptance region (iii) sample mean in
acceptance region? (iv) if yes accept, otherwise
reject.
3. Performance parameters and results reporting:
p(error type I) = 𝛼 [significance], p(error type II)
= 𝛽 [1-power], p-Value.

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 Class Activity 1

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 Class Activity 2

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A pharmaceutical company is formulating a new anti-obesity drug to target potential markets
based on the population Body Mass Index (BMI). In a given country, official data claims
that the average population BMI is about 25 kg/m2 with a standard deviation of 7 kg/m2. The
company wishes to examine the extent up to which this claim is true and hence wants to test
the Hypothesis
𝐻0 : 𝜇 = 25 kg/m2 against 𝐻1 : 𝜇 ≠ 25 kg/m2 using the results of a random sample of 49
specimens.

a) Find the type I error probability 𝛼 if the acceptance area is defined as 23 ≤ 𝑋ത ≤ 27

b) What is the probability of type II error 𝛽 if the true BMI mean is 26 kg/m2
c) 3-What is the probability of type II error 𝛽 if the true BMI mean is 30 kg/m2
d) Compare the two values of 𝛽 calculated in the previous question, what conclusion can
you draw?

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a) Find the type I error probability 𝛼 if the acceptance area is defined as 23 ≤ 𝑋ത ≤ 27

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 b) What is the probability of type II error 𝛽 if the true BMI mean is 26 kg/m2

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c) What is the probability of type II error 𝛽 if the true BMI mean is 30 kg/m2

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d) Compare the two values of 𝛽 calculated in the previous question, what conclusion can
you draw?

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