Bus Q600 classes in Week 8

Dear Bus Q600 students;


Please note that Bus Q600 classes will NOT be cancelled during Week 8 (Nov. 2-4). We will continue with the discussion of Chapter 7 which was started this week.

Good luck in your upcoming exams (accounting and economics).

Summary for Week 7 (October 26-28)

We started with a (detailed) review of the stock returns problem and looked at the n=2 and n=3 sample cases. In all cases we have the mean of the sample averages equal to the population mean, and the variance of the sample averages equal to the variance of the population divided by the sample size.

We discussed the adjustment necessary in the standard deviation of the sample means if the population is finite and sampling is done without replacement. Next, we looked at the MPG of Zebra 501 GT sports car using Visual Statistics (that comes with the book CD). The concepts of unbiasedness and minimum variance estimators were discussed. We continued with the example of a Mercury speed boat engines.

The chapter ended with the discussion of sample proportion which was motivated using the disastrous "New Coke" campaign in 1985.

The new Chapter 7 was introduced by an example involving the taxable incomes of physicians where μ is not known but σ is known. We will continue with this example next week.