Cairo University, Probability and Statistics2,

Faculty of Computers and Information, ST122

Decision Support Department,

Confidence Interval for one population Mean

Is 𝜎
Known?
Yes No

Use Z
𝝈
𝑥ҧ ± 𝑧𝛼/2 Is n >= 30 ?
𝑛

Use Z
Yes
𝒔 Use T
𝑥ҧ ± 𝑧𝛼/2
𝑛 No
𝑠
𝑥ҧ ± 𝑡𝛼/2
𝑛
𝑑. 𝑓. = 𝑛 − 1
Cairo University, Probability and Statistics2,
Faculty of Computers and Information, ST122
Decision Support Department,

Confidence Interval for one population Proportion

Are
conditions
satisfied?
np, nq ≥ 5
Yes No

Use Z We can't solve using the traditional methods

𝑝𝑞
𝑝 ± 𝑧𝛼/2
𝑛

Confidence Interval for two population Proportions

Are conditions
satisfied?
n1 p1, n1 q1,n2 p2,
Yes n2 q2 ≥ 5 No

Use Z
We can't solve using the traditional
𝑝1 𝑞1 𝑝2 𝑞2 methods
𝑝1 − 𝑝2 ± 𝑧𝛼/2 +
𝑛1 𝑛2
Cairo University, Probability and Statistics2,
Faculty of Computers and Information, ST122
Decision Support Department,

Confidence Interval for one population Variance

Is n >= 30
No ?
Yes

Use Chi-Square
(n − 1)s 2 2
(n − 1)s 2
≤σ ≤ Use Z
χ𝛼/2 χ1−𝛼/2
(n − 1)s 2
≤ σ2
n − 1 + 𝑧𝛼/2 2(𝑛 − 1)
(n − 1)s 2
Confidence Interval for two population Variances ≤
n − 1 − 𝑧𝛼/2 2(𝑛 − 1)

Use F
𝑠12 1 𝝈12 𝑠12 1
≤ 2≤ 2
𝑠22 𝐹𝛼ൗ
2(𝜈1 ,𝜈2 )
𝝈2 𝑠2 𝐹1−𝛼ൗ2 𝜈1 ,𝜈2

⇓
𝑠12 1 𝝈12 𝑠12
≤ 2 ≤ 2 𝐹𝛼ൗ 𝜈2 ,𝜈1
𝑠22 𝐹𝛼ൗ2(𝜈1 ,𝜈2 ) 𝝈2 𝑠2 2

𝜈1 = 𝑛1 − 1
𝜈2 = 𝑛2 − 1
Cairo University, Probability and Statistics2,
Faculty of Computers and Information, ST122
Decision Support Department,

Confidence Interval for the difference between two population Means

Is 𝜎
Known? No
Yes
Is n >=
Use Z 30 ?
𝝈21 𝝈2
(𝑥ҧ1 − 𝑥ҧ2 ) ± 𝑧𝛼/2 + 𝑛2
𝑛1 2 Yes Use Z
No
𝑠12 𝑠2
(𝑥ҧ1 − 𝑥ҧ2 ) ± 𝑧𝛼/2 + 𝑛2
𝑛1 2

Are pop.
variances
assumed
equal?

Use T No Yes
𝑠2 2 2
1 + 𝑠2 Use T
𝑛1 𝑛2
Calc. 𝑑. 𝑓. = 2 2 2 (rounded down) 𝑛1 −1 𝑠12 + 𝑛2 −1 𝑠22
𝑠1 𝑠2
2 Calc. 𝑆𝑝 =
𝑛1 𝑛2 𝑛1 +𝑛2 −2
+
𝑛1 −1 𝑛2 −1
1 1
(𝑥ҧ1 − 𝑥ҧ2 ) ± 𝑡𝛼/2 𝑆𝑝 +𝑛
𝑛1 2
𝑠12 𝑠22
(𝑥ҧ1 − 𝑥ҧ2 ) ± 𝑡𝛼/2 +
𝑛1 𝑛2 𝑑. 𝑓. = 𝑛1 + 𝑛2 − 2