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Home/Practice questions/Applied Maths. Section B2
Applied Maths. Section B2Inferential Statistics

The point estimate of the population standard deviation for the rando…

The point estimate of the population standard deviation for the random sample 5, 8, 10, 7, 10, 14 is:

Answer & explanation+

Correct answer: option 3

The correct answer is Option (3) → 3.1

The point estimate of the population standard deviation uses the divisor n − 1, since \(s^2\) with this divisor is the unbiased estimate of the population variance:

    \( \displaystyle s = \sqrt{\frac{\sum (x - \bar{x})^2}{n - 1}} \)

Here \(n = 6\):

    \( \displaystyle \bar{x} = \frac{5 + 8 + 10 + 7 + 10 + 14}{6} = \frac{54}{6} = 9 \)

Squared deviations from 9:

    \(16,\ 1,\ 1,\ 4,\ 1,\ 25\)
\(\sum (x - \bar{x})^2 = 48\)

    \( \displaystyle s = \sqrt{\frac{48}{5}} = \sqrt{9.6} \approx 3.098 \)

So the estimate is about 3.1. (With divisor n the value would be \(\sqrt{8} \approx 2.83\), which is not among the options.)

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