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BUS216 
Spring 2014
 Simple Random Sample 
 Systematic Random Sampling 
 Stratified Random Sampling 
 Cluster Sampling
 Simple Random Sample: A sample selected so 
that each item or person in the population 
has the same chance of being included. 
 Stratified Random Sampling: A population is 
first divided into subgroups, called strata, 
and a sample is selected from each stratum. 
Useful when a population can clearly be 
divided in groups based on some 
characteristics.
 Cluster Sampling: A population is divide into 
clusters using naturally occurring, 
geographic, or other kinds of boundaries. 
Then, clusters are randomly selected and a 
sample is collected by randomly selecting 
from each cluster. 
 The sampling error is the difference between 
a sample statistic and its corresponding 
population parameter.
The sampling distribution of the sample 
mean is a probability distribution 
consisting of all possible sample means 
of a given sample size selected from a 
population.
 For any sample size, the sampling distribution of the sample 
mean will also be normal if the population follows a normal 
probability distribution. 
 If the population distribution is symmetrical (but not normal), the 
normal shape of the distribution of the sample mean emerges 
with samples as small as 10. 
 If a distribution is skewed or has thick tails, it may require 
samples of 30 or more to observe the normality feature. 
 The mean of the sampling distribution is equal to 
μ and the variance is equal to .
If is the mean of a random sample of size n from a 
normal population with the mean of μ and standard 
deviation of σ, the distribution of is a normal 
distribution with mean = μ and standard deviation 
A A .
1. The mean of the distribution of sample means 
will be exactly equal to the population mean if we 
are able to select all possible samples of the 
same size from a given population. 
2. There will be less dispersion in the sampling 
distribution of the sample mean than in the 
population. As the sample size increases, the 
standard error of the mean decreases.
 If a population follows the normal 
distribution, the sampling distribution of the 
sample mean will also follow the normal 
distribution. 
 If the shape is known to be non-normal, but 
the sample contains at least 30 observations, 
the central limit theorem guarantees the 
sampling distribution of the mean follows a 
normal distribution.
 Sampling Distribution 
◦ The central limit theorem holds, and the 
distribution is approximately normal if np 
> 5 and nq > 5 (p is the population 
proportion and q = 1 – p) 
◦ The mean of the distribution is p. 
◦ The variance of the distribution is pq / n
Sampling Distributions and Central Limit Theorem
Sampling Distributions and Central Limit Theorem

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Sampling Distributions and Central Limit Theorem

  • 2.  Simple Random Sample  Systematic Random Sampling  Stratified Random Sampling  Cluster Sampling
  • 3.  Simple Random Sample: A sample selected so that each item or person in the population has the same chance of being included.  Stratified Random Sampling: A population is first divided into subgroups, called strata, and a sample is selected from each stratum. Useful when a population can clearly be divided in groups based on some characteristics.
  • 4.  Cluster Sampling: A population is divide into clusters using naturally occurring, geographic, or other kinds of boundaries. Then, clusters are randomly selected and a sample is collected by randomly selecting from each cluster.  The sampling error is the difference between a sample statistic and its corresponding population parameter.
  • 5. The sampling distribution of the sample mean is a probability distribution consisting of all possible sample means of a given sample size selected from a population.
  • 6.  For any sample size, the sampling distribution of the sample mean will also be normal if the population follows a normal probability distribution.  If the population distribution is symmetrical (but not normal), the normal shape of the distribution of the sample mean emerges with samples as small as 10.  If a distribution is skewed or has thick tails, it may require samples of 30 or more to observe the normality feature.  The mean of the sampling distribution is equal to μ and the variance is equal to .
  • 7. If is the mean of a random sample of size n from a normal population with the mean of μ and standard deviation of σ, the distribution of is a normal distribution with mean = μ and standard deviation A A .
  • 8. 1. The mean of the distribution of sample means will be exactly equal to the population mean if we are able to select all possible samples of the same size from a given population. 2. There will be less dispersion in the sampling distribution of the sample mean than in the population. As the sample size increases, the standard error of the mean decreases.
  • 9.
  • 10.  If a population follows the normal distribution, the sampling distribution of the sample mean will also follow the normal distribution.  If the shape is known to be non-normal, but the sample contains at least 30 observations, the central limit theorem guarantees the sampling distribution of the mean follows a normal distribution.
  • 11.  Sampling Distribution ◦ The central limit theorem holds, and the distribution is approximately normal if np > 5 and nq > 5 (p is the population proportion and q = 1 – p) ◦ The mean of the distribution is p. ◦ The variance of the distribution is pq / n