Business Statistics

Definition: The Stratified Sampling is a sampling technique wherein the population is sub-divided into homogeneous groups, called as ‘strata’, from which the samples are selected on a random basis. The strata are formed on the basis of the member’s shared attributes and characteristics. These are mutually exclusive as every item of the population is assigned to a single … [Read more...] about Stratified Sampling

Definition: The Simple Random Sampling is a sampling technique wherein every item of the population has an equal and likely chance of being selected in the sample. Here, the selection of the item solely depends on the chance and therefore, this method is also called as a Method of Chance Selection. The selection of samples through simple random sampling is free from the … [Read more...] about Simple Random Sampling

Definition: The Sampling is a statistical process of selecting few representatives from the population, called as a sample, on the basis of which the characteristics of the total population can be ascertained. Since the sample selected should reflect the true characteristics of the population the researcher must decide which sampling method should be used. The sampling … [Read more...] about Sampling Methods

Definition: The Sampling is a statistical analysis tool wherein the data are collected from a few representative items of the universe, called as a sample, on the basis of which the characteristic of the entire population can be ascertained. Principles of Sampling There are two important principles of sampling on which the sampling theory depends on: Principle of … [Read more...] about Principles of Sampling

Definition: The Sampling is a statistical method wherein a certain group of representative items is selected from the universe, called as a sample, on the basis of which the conclusion for the entire population is drawn. In sampling, the data are collected from few representative items of the universe that best describes the characteristics of the population. This method is … [Read more...] about Sampling

Definition: The Census Method is also called as a Complete Enumeration Survey Method wherein each and every item in the universe is selected for the data collection. The universe might constitute a particular place, a group of people or any specific locality which is the complete set of items and which are of interest in any particular situation. The census method is most … [Read more...] about Census Method

Definition: The Coefficient of determination is the square of the coefficient of correlation r2 which is calculated to interpret the value of the correlation. It is useful because it explains the level of variance in the dependent variable caused or explained by its relationship with the independent variable. The coefficient of determination explains the proportion of the … [Read more...] about Coefficient of Determination

Definition: The Probable Error of Correlation Coefficient helps in determining the accuracy and reliability of the value of the coefficient that in so far depends on the random sampling. In other words, the probable error (P.E.) is the value which is added or subtracted from the coefficient of correlation (r) to get the upper limit and the lower limit respectively, within … [Read more...] about Probable Error of Correlation Coefficient

Definition: The Standard Error of Estimate is the measure of variation of an observation made around the computed regression line. Simply, it is used to check the accuracy of predictions made with the regression line. Likewise, a standard deviation which measures the variation in the set of data from its mean, the standard error of estimate also measures the variation in the … [Read more...] about Standard Error of Estimate

Definition: The constant ‘b’ in the regression equation (Ye = a + bX) is called as the Regression Coefficient. It determines the slope of the line, i.e. the change in the value of Y corresponding to the unit change in X and therefore, it is also called as a “Slope Coefficient.” Properties of Regression Coefficient   The correlation coefficient is the geometric mean … [Read more...] about Properties of Regression Coefficient