ABSTRACT
This chapter deals with the estimation of parameters. It explains the underlying concepts in point and interval estimation. The chapter constructs confidence intervals for a population mean and a population proportion. It evaluates a population mean when s is both known and unknown. The chapter describes the t distribution and determines when its use is appropriate. It determines sample size for estimating means. The basic learning objective is to be able to use sample data to estimate population means and percentages. The interval estimate considers a range of values that is assumed to contain the true mean. Interval estimate is based on the Central Limit Theorem, which states that as the sample size increases, the sampling distribution of means approximates a normal distribution. The t distribution, like the normal distribution, is symmetrical in shape, and has a mean equal to zero.
