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The Central Limit Theorem - WebAssign

Chapter 7. The Central Limit Theorem The Central Limit Theorem1. Student Learning Objectives By the end of this chapter, the student should be able to: Recognize the Central Limit Theorem problems. Classify continuous word problems by their distributions. Apply and interpret the Central Limit Theorem for Averages. Apply and interpret the Central Limit Theorem for Sums. Introduction What does it mean to be average? Why are we so concerned with averages? Two reasons are that they give us a middle ground for comparison and they are easy to calculate. In this chapter, you will study averages and the Central Limit Theorem . The Central Limit Theorem (CLT for short) is one of the most powerful and useful ideas in all of statistics.

The Central Limit Theorem tells you that as you increase the number of dice, the sample means (averages) tend toward a normal distribution (the sampling distribution). 7.2 The Central Limit Theorem for Sample Means (Averages)2 Suppose X is a random variable with a distribution that may be known or unknown (it can be any distri-

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