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Business Statistics Test 3
Vocabulary
28
Other
Undergraduate 2
03/01/2009

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Term
Random Variable
Definition

a set of rules that assigns a numerical value to each outcome of a random experiment

 

Ex. changing the random experiment to numbers from heads/tails

Term
Probability Distribution
Definition
a lisiting of all possible values of a random variable along with the associated probabilities
Term
Variance
Definition

Average Squared Error/Risk

Term
In case of ties we choos the alternate with the smallest.......
Definition
Variance
Term
Bernoulli Process
Definition

1. Dicotomous (two outcomes)

2. Stable and doesn't vary from trial to trial

3. Independence

Term

Bernouli Process

(first process)

 

Definition

1. Dicotomous (two outcomes)

Term

Bernoulli Process

(Second Process)

Definition
2. Stable and doesn't vary from trial to trial
Term

Bernoulli Process

(Third Process)

Definition
1. Independence
Term
Binomial Distribution
Definition
a probability distribution of the number of successes for a Bernoulli process of "n" trials with a "p" probability of success for each trial
Term
For the table of Binomial Probabilities
Definition

P at the top: left side for n and x

 

P at the bottom: right side for n and x

Term

Expected Value/mean formula for Binomial Distributions only:

Definition
µx = E(x)= n *p
Term

Variance for Binomial Distributions only:

Definition
σx²=np(1-p)
Term
0! =
Definition
1
Term
x°=
Definition
1
Term
The other names for the "Bell Shape Curve"
Definition

Gaussian Distribution

White Noise Distributin

"The" Curve (Normal Distribution)

Term
Every true normal distribution varies from:
Definition
-∞ to ∞
Term
Sampling Distribution
Definition
a probability distribution of a sample statistic for all values of that sample statistic for a given sample size "n"
Term
Central Limit Theorem
Definition

the sample size (number of observations in each sample) gets large (i.e. greater than or equal to 30). The sampling distribution of the mean can be approximated by a normal distribution (with a mean of theses means equal to the population mean (μx) and a variance equal to the population variance divided by the sample size (σx ). )

                                                   n

Term
The standard deviation of any sampling distribution is called......
Definition
the standard error
Term
Weak Central Limit Therom
Definition
if the population is normally distributed, then the sampling distribution of the mean is normally distributed for any sample size n.
Term
As the sample size decreases, the variance amont the sample mean
Definition
increases
Term
For any continuous random variable, the probability that the random variable takes on exactly a specific value is
Definition
zero
Term

A mutually exclusive listing of of all possible values of a randmo variable and their associated probabilites is called a

Definition
probability distribution
Term

The best answer name of the standard deviation of a sampling distribution is

Definition
standard error
Term
For a standard normal probability distribution, a negative Z value indicates
Definition
the Z is to the left of the mean
Term
In a standard normal distribution, the range of the values of z is
Definition
from -∞ to +∞
Term
For every normal distribution, the following are equal
Definition
mean- median- mode
Term
Whenever the population is normally distributed, the sampling distribution of the mean is a normal distribution
Definition
for any sample size
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