Business Statistics, Second Edition

10.10 HYPOTHESIS TESTING FOR POPULATION MEAN WITH SMALL SAMPLES

When the sample size is small (i.e., less than 30), the central limit theorem does not assure us to assume that the sampling distribution of a statistic such as mean , proportion , is normal. Consequently when testing a hypothesis with small samples, we must assume that the samples come from a normally or approximately normally distributed population. Under these conditions, the sampling distribution of sample statistic such as and is normal but the critical values of or depend ...