Statistics - Day 7

Alright! Today we'll deep dive further into t-distribution and why is it required.

I wasn't very confident on what is the t-distribution and why it was used until I learnt more about this in a video : https://www.youtube.com/watch?v=UetYS3PaHIo&ab_channel=zedstatistics

When population variance is not known, simply use t-test.

It's calculation is similar to z-statistic, the only difference is we use sample variance and t-table in the former and also involve degrees of freedom.

The more the number of samples you have, more the confidence you can have in your data.

There are two types of variables:

Dependent

I did one example to solidify my understanding on t-stat. Calculated confidence interval and interpreted the results

Independent

there are three scenarios here:

• Known population variances (using z stat)

• Unknown pop variances but assumed to be equal (t test)

• Unknown pop variance but assumed to be unequal (t test)

Until next time!!