Explain Quants-III Slide 16

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Explain Quants-III Slide 16

Postby vishnu.ftw » Thu Apr 04, 2013 1:01 pm

It is mentioned that the formulas are for calculating confidence intervals for population mean, but why should we construct a confidence interval for the pop mean when it is already known? (See heading of slide). Also what is the alpha term after Z? I remember from my statistic classes that there is a seperate formula to calculate this.

At the very least, you could put up a one-line definition of what terms you are including in the formula, because it is only confusing and irritating to see a term in a formula which has not been explained previously.

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Explain Quants-III Slide 16

Postby lokesh1 » Tue Apr 09, 2013 3:42 pm

Hi Vishnu,

We sincerely appreciate your concern regarding the heading of the slide. We are in the process of making appropriate changes in the slides for your better understanding.

To answer your first query, we construct confidence intervals for estimating population mean using given SAMPLE mean.

Answering your second query, alpha term after Z is just a sub-script to Z denoting Z at a particular level of significance. Here, alpha means level of significance.

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