THE NATURE OF

PROBABILITY AND
STATISTICS

OUTLINE
Introduction
1-1
Descriptive
and
Inferential
Statistics
1-2
Variables and Types of Data
1-3
Data Collection and Sampling
Techniques

Identify the measurement levels for each

variable.
Identify

the

four

basic

sampling

techniques.
Explain the importance of computers and

calculators in statistics.

OBJECTIVES
Demonstrate

knowledge

of

statistical

terms.
Differentiate between the two branches of

statistics.
Identify types of data.

Introduction
What is STATISTICS ?

Collect
Organize
Summarize
Analyze
Draw Conclusion

Introduction
Hence, STATISTICS is the science of

conducting studies to collect, organize,

summarize, analyze, and draw conclusion from
the data.

Introduction
Statistical Terms:
1)Variable

- A characteristic or attribute that can assume

different values.
2)Random Variable

- A variable whose values is determined by

chance.

Introduction
3) Data

- Values that the variables can assume.

4) Data Set

- A collection of data values.

Introduction
5) Population

- Consists of all subjects (human or

otherwise) that are being studied.
6) Sample
- A group of subjects selected from a
population.
Populatio
n
Sampl
e

Introduction
Generally,

statisticians
or
researchers
generalize their findings on population based
on the sample selected.

To reflect the whole population, the sample

selected must be representation enough, i.e.:

a)The sample size is large enough.
b)The sample is selected randomly (unbiased).

1-1 Descriptive and Inferential Statistics

Descriptive Statistics
Consists of the collection, organization,

summarization, and presentation

(usually in graphs, charts, or tables).

of

data

1-1 Descriptive and Inferential Statistics

Examples of Descriptive Statistics:
1.The average score of Probability Exam is 80.
2.There are 68 out of 150 students taking

Mathematics subject in this semester.

3.Company A earned RM 3 billions in the year of

2010.

1-1 Descriptive and Inferential Statistics

Inferential Statistics
Consists of generalizing from samples to

populations, performing estimation and

hypothesis tests, determining relationships
among variables, and making predictions.

1-1 Descriptive and Inferential Statistics

Examples of Inferential Statistics:
1.Probability Chances of an event occurring /

happening.
2.Hypothesis

Testing Decision-making
process for evaluating claims about population,
based on information gained from sample.

1-2 Variables and Types of Data

1-2 Variables and Types of Data

Qualitative Variables:
Variables that can be placed into distinct

(unique) categories, according

characteristics or attributes.

to

some

Also known as non-numerical variables.

1-2 Variables and Types of Data

Examples:
1.Gender (Male / Female)
2.Marital Status (Single / Married / Widowed)
3.Course (Medicine / Engineering / Science)
4.Colour (Red / White / Yellow / Green)
5.Blood Type (A / B / O / AB)

1-2 Variables and Types of Data

Quantitative Variables:
Variables that are numerical and can be

ranked and ordered.

Also known as numerical variables.
Can be further classified into two (2) groups:
1.Discrete Variables
2.Continuous Variables

1-2 Variables and Types of Data

Discrete Variables:
Assumes values that can be

(countable).
Examples:
1.Number of students.
2.Salary in a month
3.Number of cars.

counted

1-2 Variables and Types of Data

Continuous Variables:
Assumes an infinite number of values

between any two specific values.

Obtained by measuring and often includes

fractions and decimals.

1-2 Variables and Types of Data

Examples:
1.Height (150cm, 150.5cm, 145.95cm)
2.Weight (56kg, 78.9kg, 83.45kg, 12.435kg)
3.Time (10sec, 10.5sec, 20.35sec, 60.453sec)
4.Temperature ( 0 C, 30.4 C, 99.85 C)

1-2 Variables and Types of Data

LEVEL OF MEASUREMENT:
Data or variables are classified according to

how they
measured.

are

categorized,

counted,

or

Four (4) common types of scales are used:

Nominal

Ordinal

Interval

Ratio

1-2 Variables and Types of Data

1. Nominal Level of Measurement:
Classifies data into mutually exclusive (non-

overlapping), exhausting categories.

No order or ranking can be imposed on the

data.

1-2 Variables and Types of Data

Examples of Nominal level of measurement:
1.Gender (Male / Female)
2.Colour (Red / Black / Blue / Yellow)
3.Marital Status (Single / Married / Divorced)
4.Blood Type (A / B / O / AB)

1-2 Variables and Types of Data

2. Ordinal Level of Measurement:
Classifies data into categories that can be

ranked and ordered

However, no precise differences exist

between the ranks.

1-2 Variables and Types of Data

Examples of Ordinal level of measurement:
1.Grades

- A/ B / C / D
2.Performances
- Excellent / Good / Fair / Poor
3.Sizes
- S / M / L / XL / XXL

1-2 Variables and Types of Data

3. Interval Level of Measurement:
Ranks data, and there exists precise

differences between units of measure.

However, there do not exists meaningful /

true zero.

1-2 Variables and Types of Data

Examples of Interval level of measurement:
1.IQ Scores

- 0, 45, 100, 156, 180, 240

2.Temperature
- 0 C
, 37 C
, 88,C 100 C
* IQ = 0 doesnt mean that person is brainless.
* 0 C doesnt mean that object has no heat.

1-2 Variables and Types of Data

4. Ratio Level of Measurement:
Possesses all the characteristics of Interval

measurement.
measurement
There exists meaningful/true zero.
zero
True ratios exist when the same variable is
measured on two different numbers of the
population.

1-2 Variables and Types of Data

Examples of Ratio level of measurement:
1.Weight

- 0 kg, 50 kg, 83 kg, 100kg.

2.Salary
- RM 1500, RM 2500, RM 5000.
3.Time
- 10 min, 1 hour, 20 hours, 6 days.

1-2 Variables and Types of Data

Salary:
Person A gets RM 0.
Person B gets RM 1500.
Person C gets RM 4500.
RM 0 means he gets nothing (true zero).
zero)
Ratio of salary between B and C is 1 : 3 (True

ratio).
ratio)

1-3 Data Collection and

Sampling Techniques
Data can be collected in variety of ways.
Survey technique is one of the most common

methods,
such
as
telephone
questionnaire, and personal interview.

survey,

1-3 Data Collection and

Sampling Techniques
To obtain samples from population that are

unbiased, four (4) basic sampling methods

are frequently used:
1)Random Sampling
2)Systematic Sampling
3)Stratified Sampling
4)Cluster Sampling

1-3 Data Collection and

Sampling Techniques
1) Random Sampling
The samples are selected by using chance

methods or random numbers.

numbers

The sample obtained from a population in

such a way that every member / element of
the population has the same/equal chances
of being selected in the sample.

1-3 Data Collection and

Sampling Techniques
Usually adopted when the population is

largely homogenous, that is, when it is too

difficult to distinguish between every items /
members.
Often involves the use of random numbers, or

computer-generated random numbers.

1-3 Data Collection and

Sampling Techniques
2) Systematic Sampling
The samples are obtained by numbering each

subject of the population and then selecting every

kth value subject.
Example: Every tenth object is selected.

1,2,3, ,10,11, 20,21, 29,30,31, ,99,100

1st
sample

2nd

sample

3rd

sample

10th
sample

1-3 Data Collection and

Sampling Techniques
3) Stratified Sampling
The population is divided into groups known

as strata according to some characteristic

such as ages, nationalities, courses of study,
religions.
The sample is then selected randomly from

each group.

1-3 Data Collection and

Sampling Techniques
Example: A population of 1000 students are

divided into 5 groups according to their

courses of study: Medicine, Engineering,
Music, Economics, and Science.
POPULATION
Med
300

Eng
250
Eco
150

Mus
100
Sci
200

1-3 Data Collection and

Sampling Techniques
Me
d
300
Eng
250
Mu
s
10
0

50 samples
50 samples

Eco
15
0
Sci
20
0

50 samples

50 samples

50 samples

1-3 Data Collection and

Sampling Techniques
4) Cluster Sampling
Population is divided into groups called

clusters.
clusters
Sample is then selected by using an intact
group that is representative of the population.

1-3 Data Collection and

Sampling Techniques
Example: In UCSI University, there are 4

main blocks, A, B, C, and D.

POPULATION

1-3 Data Collection and

Sampling Techniques
There are 4 clusters (each block represents a

cluster). To select the sample, all the staffs

from Block A and C are included.
POPULATION

Samples

1-3 Data Collection and

Sampling Techniques
Difference between Stratified and Cluster
Sampling:
Stratified each stratum is homogenous
(same characteristic).
Cluster Each cluster is heterogeneous (may
contain various / different characteristics).