t - distribution
The t-distribution also known as Student’s t-distribution is
a probability distribution that is used to estimate
population parameters when the sample size is small
and/or when the population variance is unknown.
It was developed by William Sealy Gosset in 1908.
t - distribution
If x̄ are s are the mean and standard deviation of a random
sample size n taken from a normally distributed population
with a mean can be standardized as t =
The formula is used when n < 30 and the population
variance is unknown.
The t-distribution with n-1 degrees of freedom.
Properties of t-distribution
1. Like the normal distribution, the t-distribution has
a smooth shaped.
Properties of t-distribution
2. Like the normal distribution, the t-distribution is
symmetric. If you think about folding it in half at the
mean, each side will be the same.
Properties of t-distribution
3. Like a standard normal distribution (z-distribution),
the t-distribution has a mean of zero.
Properties of t-distribution
4. The normal distribution assumes that the population
standard deviation is known. The t-distribution does not
make this assumption.
5. The t-distribution is defined by the degrees of freedom.
These are related to the sample size.
6. As the sample size increases, the t-distribution
becomes more similar to a normal distribution.
IDENTIFYING
PERCENTILES USING
THE T-TABLE
Area in Right Tail
Degrees of Freedom t-value
t - distribution
t-distribution is used for the following reasons:
[Link] the population standard deviation is
unknown.
2. The sample size is less than 30.
Determine the t-value based on the given sample size n and α
n = 22, α = 0.01
Determine the t-value based on the given sample size n and α
n = 22, α = 0.01
df = n -1
= 22-1
= 21
t = 2.518
Find the values of t for which the area on the right tail of t-
distribution is 0.05 and the number of degrees of freedom is equal
to: a) 15 b) 28 c) 100
α = 0.05
a) df = 15
Find the values of t for which the area on the right tail of t-
distribution is 0.05 and the number of degrees of freedom is equal
to: a) 15 b) 28 c) 100
α = 0.05
a) df = 15, t = 1.753
Find the values of t for which the area on the right tail of t-
distribution is 0.05 and the number of degrees of freedom is equal
to: a) 15 b) 28 c) 100
α = 0.05
b) df = 28
Find the values of t for which the area on the right tail of t-
distribution is 0.05 and the number of degrees of freedom is equal
to: a) 15 b) 28 c) 100
α = 0.05
b) df = 28, t = 1.701
Find the values of t for which the area on the right tail of t-
distribution is 0.05 and the number of degrees of freedom is equal
to: a) 15 b) 28 c) 100
α = 0.05
c) df = 100
Find the values of t for which the area on the right tail of t-
distribution is 0.05 and the number of degrees of freedom is equal
to: a) 15 b) 28 c) 100
α = 0.05
c) df = 100, t = 1.660
Find the 99th percentile of the t-distribution with 18 degrees of
freedom.
The area of the entire curve is 1, this implies that the area to
the right of the 99th percentile is 0.01.
Find the 99th percentile of the t-distribution with 18 degrees of
freedom.
The area of the entire curve is 1, this implies that the area to the
right of the 99th percentile is 0.01.
Hence the 99th percentile
is 2.552
Find the 90th percentile of the t-distribution if the sample size is 25.
The area of the entire curve is 1, this implies that the area to the
right of the 90th percentile is 0.10.
Find the 90th percentile of the t-distribution if the sample size is 25.
The area of the entire curve is 1, this implies that the area to the
right of the 90th percentile is 0.10. n = 25
df = n-1 = 25-1 = 24
Hence the 90th percentile
is 1.318
What is the area to the right of 1.323 under a t-distribution with 21
degrees of freedom?
t = 1.323
df = 21
α =?
What is the area to the right of 1.323 under a t-distribution with 21
degrees of freedom?
t = 1.323
df = 21
α =?
The area to the right of
1.323 is 0.10.
What is the area to the right of 2.4 under a t-distribution with 7
degrees of freedom?
t = 2.4
df = 7
α =?
What is the area to the right of 2.4 under a t-distribution with 7
degrees of freedom?
t = 2.4
df = 7
α =?
The area to the right of 2.365 is 0.025 and the area to the right of
2.517 is 0.02 .
The area to the right of 2.365 is 0.025 and the area to the right of
2.517 is 0.02. The area to the right of 2.4 under the t-distribution with
7 degrees of freedom lies somewhere between 0.02 and 0.025
IDENTIFYING THE
LENGTH OF A
CONFIDENCE INTERVAL
CONFIDENCE LEVEL
The Confidence Level is the probability that the interval
estimate contains a parameter, it describes what
percentage of intervals from many different samples
contains the unknown population parameter.
CONFIDENCE LEVEL
The confidence level has its corresponding coefficient which
is called the confidence coefficient. These coefficients are
used to find the margin of error, for instance, the table below
shows the corresponding coefficient confidence level.
Confidence 99% 98% 96% 95% 92% 90% 85% 80% 70%
Level 0.99 0.98 0.96 0.95 0.92 0.90 0.85 0.80 0.70
2.58 2.33 2.05 1.96 1.75 1.645 1.44 1.28 1.04
Confidence Interval or interval estimate is a range of
values that is used to estimate a parameter. This estimate
may or may not contain the true parameter value. For
instance, we write it in this form
<
- (< < + (
Margin of error, E x̄ = sample mean
E= ( - ( = lower confidence boundary or lower limit
n = sample size + ( = upper confidence boundary or upper limit
= confidence coefficient
= population standard deviation
E= (
EXAMPLE 1. A study of 50 students showed that their average score
was 87. The standard deviation of the population is 9. Find the 90%
confidence interval of the mean score for all students.
Given: = 87, = 1.645, = 9, n = 50 E= (
= 1.645 (
Lower Limit: - E = 87 – 2.09 = 84.91
Upper Limit: + E = 87 + 2.09 = 89.09
EXAMPLE 1. A study of 50 students showed that their average score
was 87. The standard deviation of the population is 9. Find the 90%
confidence interval of the mean score for all students.
Given: = 87, = 1.645, = 9, n = 50
E= ( Lower Limit: - E = 87 – 2.09 = 84.91
= 1.645 (
Upper Limit: + E = 87 + 2.09 = 89.09
84.91 < < 89.09. Therefore, the confidence
interval is between 84.91 and 89.09
EXAMPLE 2. An online seller of chicken wings, which is very popular in Tondo,
Manila surveyed several customers. Fifty-two percent of the customers were
satisfied with the services that were offered with a 3.98% margin of error.
Determine the confidence interval using this information.
Given: = 52% or 0.52
Lower Limit: - E = 0.52 – 0.0398 = 0.4802
Upper Limit: + E = 0.52 + 0.0398 = 0.5598
EXAMPLE 2. An online seller of chicken wings, which is very popular in Tondo,
Manila surveyed several customers. Fifty-two percent of the customers were
satisfied with the services that were offered with a 3.98% margin of error.
Determine the confidence interval using this information.
Given: = 52% or 0.52
Lower Limit: - E = 0.52 – 0.0398 = 0.4802 = 48.02%
Upper Limit: + E = 0.52 + 0.0398 = 0.5598 = 55.98%
Therefore, the confidence interval is (48.02%, 55.98%) or
(0.4802, 0.5598)
LEVEL OF CONFIDENCE AND
The margin of error is the range of values above and below
the given statistical number or sample in confidence interval.
E= (
n = sample size
= confidence coefficient
= population standard deviation
1. Julia owns a jewelry store. She used 150 pairs of earrings as her
samples for the different designs. The population standard deviation of
the price of the earrings is 65 pesos. Suppose that Julia wants a 98% level
of confidence to determine the mean price of all the earrings she is
selling. Compute the margin of error of her estimate.
1. Julia owns a jewelry store. She used 150 pairs of earrings as her
samples for the different designs. The population standard deviation of
the price of the earrings is 65 pesos. Suppose that Julia wants a 98% level
of confidence to determine the mean price of all the earrings she is
selling. Compute the margin of error of her estimate.
Given: = 2.33
E = ( = 12.37
COMPUTING THE LENGTH OF CONFIDENCE INTERVAL
CONFIDENCE INTERVAL LOWER LIMIT AND UPPER LIMIT
< Upper Limit -E
(Lower limit, Upper Limit)
Upper + E
LENGTH OF CONFIDENCE INTERVAL (L)
𝐿 = UL − LL
If the sample mean is not given, we cannot compute the upper and lower limit of
the confidence interval, the formula can be used:
L=2(
2. The average price of 350 cellphones is 13, 500 pesos with a sample standard
deviation of 750 pesos.
a) Find the 99% confidence interval of the true average price of the cell phones.
b) Find all the lengths of the confidence interval.
GIVEN: x̄ = 13, 500, n = 350, = 750,
COMPUTE THE MARGIN OF ERROR:
E = ( = 103. 43
2. The average price of 350 cellphones is 13, 500 pesos with a sample standard
deviation of 750 pesos.
a) Find the 99% confidence interval of the true average price of the cell phones.
b) Find all the lengths of the confidence interval.
GIVEN: x̄ = 13, 500, n = 350, = 750,
COMPUTE THE MARGIN OF ERROR:
E = ( = 103. 43
COMPUTE THE UPPER AND LOWER LIMIT OF CONFIDENCE INTERVAL:
- E = 13, 500 – 103. 43 = 13,396.57
Upper + E = 13, 500 + 103. 43 = 13, 603.43
GIVEN: x̄ = 13, 500, n = 350, = 750,
COMPUTE THE MARGIN OF ERROR:
E = ( = 103. 43
COMPUTE THE UPPER AND LOWER LIMIT OF CONFIDENCE INTERVAL:
- E = 13, 500 – 103. 43 = 13,396.57
Upper + E = 13, 500 + 103. 43 = 13, 603.43
a) Find the 99% confidence interval
< Upper Limit This means that we are 99% confident that the
13, 396.57 < < 13, 603.43 average price of cell phones lies between 13,
396.57 pesos to 13,603.43 pesos
GIVEN: x̄ = 13, 500, n = 350, = 750,
COMPUTE THE MARGIN OF ERROR:
E = ( = 103. 43
COMPUTE THE UPPER AND LOWER LIMIT OF CONFIDENCE INTERVAL:
- E = 13, 500 – 103. 43 = 13,396.57
Upper + E = 13, 500 + 103. 43 = 13, 603.43
b) Find the length of confidence interval
= 13,603.43 – 13,396.57
= 206.86
COMPUTING
APPROPRIATE SAMPLE
SIZE USING THE LENGTH
OF THE INTERVAL
SAMPLE SIZE
It is important to know your sampling size to make an accurate and valid
estimate. It depends on the maximum error of estimate, population
standard deviation, and the degree of confidence (confidence
coefficient)
= confidence coefficient
E = margin of error
= population standard deviation
LEVEL OF CONFIDENCE AND
Example 1. A company president wishes to estimate the average
number of hours his part-time employee per week. The standard
deviation from a previous study is 9.3 hours. How large a sample must
be selected if he wants to have 99% confidence in finding whether the
true mean differs from the sample mean by 4 hours.
IDENTIFY THE GIVEN APPLY THE FORMULA
The confidence level is 99% then
= () 2
E=4
= 9.3 n = 36
GIVEN
APPLY THE FORMULA
2
= ()
n = 36
Therefore, to be 99% confident the estimate differs from the true mean by 4,
the president needs a sample size of at least 36 part-time employees.
LEVEL OF CONFIDENCE AND
Example 2. A pharmaceutical company wishes to estimate the average
speed of the effect of a pain killer. The standard deviation from the
previous study is 15 minutes. How large a sample must be selected if he
wants to be a 95% confidence of finding whether the true mean differs
from the sample mean by 5 minutes?
IDENTIFY THE GIVEN APPLY THE FORMULA
The confidence level is 95% then
= () 2
E=5
= 15 n = 34.57 or 35
GIVEN
APPLY THE FORMULA
2
= ()
n = 34.57 or 35
Therefore, to be 95% confident the estimate differs from the true mean by 5,
we need a sample size of at least 35.