Exam Notes

Test Statistic

Z = x¯−μ
σ/n√
t = x¯−μ
s/n√

Type I Error: Null=true, but reject anyway (rash to reject)- alpha is the probability of Type 1 error
Type II Error: Null=false, but fail to reject (fail to false)-^ alpha, ^ Type I prob., decrease Type II prob.
Level of Significance: alpha – determines if P-value is small enough to reject – Probability of Type I
P-value: compute on applet, Probability of observing the value or one more extreme (X-bar fluke)
If P-value is low, Reject the Null
= is a 2-sided test, > or < is a 1-sided test
Degree of Freedom: n-1
Confidence Interval
Formula: 1 – alpha *100%
Requirements: SRS, Normal distribution, Known sigma
Explanation: We are 95% confident that the true mean is… – get that result 95% of the time
Probability: 0 or 1
Point Estimate: mean (x-bar, mue), stDev (s, sigma), variance (s-squared, sigma-squared)
Relationship: level of confidence ^, Margin of Error ^
Sample size ^, Margin of Error (decrease)
Margin of Error: 2σ/n√
(X¯ − 2σ/n√,  X¯ + 2σ/n√)

N=(z*sigma/m)
2

Confidence
Level
z∗z∗

90% 1.645
95% 1.960
99% 2.576
ANOVA hypothesis: Ho=All the means are equal Ha = one or more of the means differ from the others.
Variance constant – Largest variance is < 4 x smallest variance V<4v or S<2s

Test Statistic Hypothesis Variables Requirements

Sigma known (1 sample) Z – score (applet) Ho=???, Ha=,<,or > x-bar, sigma, SRS, Normal dist.
Sigma unknown t-score (student t probability) Ho=???, Ha=,<, or > “ “ “ SRS, Normal dist.
Paired (dependent) t-score (mean of 0) Hod=0, Had=,<, or> x1,x2,d,d-bar, mued sd, SRS, Normal dist.
Independent t-Score Ho 1=2, Ha 1=, <, or >2 (group 1) x-bar1, s1, SRS, Normal dist. (no 0
n1…(group2) x-bar2, s2, in confidence interval)
n2
ANOVA F-right skewed, positive, right tail Ho-all means equal, Ha- “ “ “ “ SRS, Normal dist.,
one differs Variance constant

P=Ho value
 Hypothesis Variables Requirements Misc. Formulas Test Statistics Ho & Ha
Testing
Sigma Known x-bar, sigma, SRS, Normal dist. St. Dev = σ/√n Z – score (applet) Ho=???,
Z = (x¯−μ) / Ha=,<,or >
(σ/√n)
Sigma Unknown SRS, Normal dist. df=n-1 (student t Ho=???,
probability) Ha=,<,or >
t = (x¯−μ)/(s/√n)
Paired x1,x2,d,d-bar, mued SRS, Normal dist. t-score (mean of 0) Hod=0,
(dependent) sd, Had=,<, or>
Independent (group 1) x-bar1, s1, SRS, Normal dist. t-Score Ho 1=2,
n1… (group2) x- (no 0 in confidence Ha 1=, <, or >2
bar2, s2, n2 interval)
ANOVA (group 1) x-bar1, s1, SRS, Normal dist., F-right skewed, Ho-all means
n1… (group2) x- Variance constant positive, right tail equal,
bar2, s2, n2 (V<4v) Ha-one differs
1-Proportion p^ = p np > or = 10, St.Dev Z=Value- Ho = ???
distribution of p^ n(1-p)> or = 10 =√ p⋅(1−p) / n Mean/StDev = Ha =, <, >
has a mean of p p^-p / √p⋅(1−p) / n
(CLT)
2-Proportion n1⋅p^1≥10 [Ha determines Z = (p^1−p^2)− Ho: p1=p2
n1⋅(1−p^1)≥10 which tail for p- (p1−p2) / √ Ha: p1 >, <, =
n2⋅p^2≥10 value] p^(1−p^)
n2⋅(1−p^2)≥10 (1/n1+1/n2)
X2 SRS, Each df =(# of rows−1) X2 = Compares H0:=independent
expected count > or (# of columns−1) observed to Ha:= not
=5 expected counts. independent.
Linear β0 – Y-intercept Linear Relationship Scatterplot/Residua t-score Ho: β1 = 0
Normal Error Term lPlot
β1 - Slope Ha: β1= 0
Constant Variance Q-Q plot of
ϵ - error term – X’s are known residuals
normal random constants Residual plot
sample Observationsindepe Y=β0+β1X+ϵ
ndent
*************** *************** **************** *************** *************** *************
**** **** *** **** ***
Confidence Margin of Error Point Estimates Relationships Confidence Interval Number
Interval Formula Form. Formula
(always round
up)
Sigma Known σ / √n Probability: 0 or alpha ^, M ^ 1 – alpha *100% (z*sigma/m)2
x¯+ or – z*(σ/√n) 1 N ^, M
(decrease)
Sigma t∗s/√n x¯ ^ alpha, ^ Type I x¯−t∗s/√n, x¯+t∗s/√n
Unknown prob
Paired t∗s/√n ^ alpha, decrease x¯−t∗s/√n, x¯+t∗s/√n
(dependent) Type II prob.
Independent “ “ (excel)
ANOVA No confidence Interval NA NA NA NA
1-Proportion m = z∗ √ p^(1−p^) / n np^>or= 10, Confidence level (p^−z∗ √p^(1−p^) / n, N = (z∗ / m)2 *
p^=x/n (Point n(1-p^)> or = 10 90% = 1.645 p^+z∗ √p^(1−p^) / n) p∗(1−p∗)
Estimator for 95% =1.96 N = (z∗ / 2m)2
true proportion) 99% = 2.576 if no prior
estimate
2-Proportion M= z∗ √p^1(1−p^1) / n1 p^1-p^2 (p^1−p^2) +or- z∗ “ “
(True difference + p^2(1−p^2) / n2 √p^1(1−p^1) / n1 +
in proportion – p^2(1−p^2) / n2
cannot contain
0)
Scatterplots identify shape (linear or non), direction (+, -, neither), strength (strong, moderate, weak)
correlation coefficient (r) is between -1 & 1 – tells direction, strength of the linear association between the two variables.
Covariance is a measure of how w variables vary together. Sxy = r * Sx * Sy

Residual: observed Y minus the predicted Y ( Y−Y^=Y−(b0+b1X))

Scatterplot – Hot dog shape desired
Residual Plot – no patterns desired (warning -curvature [not linear] megaphone [variance of error term not
constant], outliers [error term not normally distributed]