The Completely Updated Guide for Everyone Who’s Ever Been Afraid of Statistics! The easy, practical, up-to-date introduction to statistics–for everyone! Thought you couldn’t learn statistics? You can–and you will! One easy step at a time, this fully updated book teaches you all the statistical techniques you’ll need for finance, quality, marketing, the social sciences, or anything else! Simple jargon-free explanations help you understand every technique. Practical examples and worked-out problems give you hands-on practice. Special sections present detailed instructions for developing statistical answers, using spreadsheet programs or any TI-83/TI-84 compatible calculator. This edition delivers new examples, more detailed problems and sample solutions, plus an all-new chapter on powerful multiple regression techniques. Hate math? No sweat. You’ll be amazed at how little you need. Like math? Optional “Equation Blackboard” sections reveal the mathematical foundations of statistics right before your eyes! Here’s Just Some of What You’ll Learn How to Do... • Construct and interpret statistical charts and tables with Excel or OpenOffice.org Calc 3 • Work with mean, median, mode, standard deviation, Z scores, skewness, and other descriptive statistics • Use probability and probability distributions • Work with sampling distributions and confidence intervals • Test hypotheses with Z, t, chi-square, ANOVA, and other techniques • Perform powerful regression analysis and modeling • Use multiple regression to develop models that contain several independent variables • Master specific statistical techniques for quality and Six Sigma programs About the Web Site Download practice files, templates, data sets, and sample spreadsheet models–including ready-to-use solutions for your own work! www.ftpress.com/youcanlearnstatistics2e

Acknowledgments. . . . . viii About the Authors . . . . . ix Introduction The Even You Can Learn Statistics Owners Manual. . . . xi Chapter 1 Fundamentals of Statistics . . . . . 1 1.1 The First Three Words of Statistics. . . . . . . 2 1.2 The Fourth and Fifth Words . . . . 4 1.3 The Branches of Statistics . . . . . 5 1.4 Sources of Data . . . . . 6 1.5 Sampling Concepts . . . . 7 1.6 Sample Selection Methods. . . . . 9 Chapter 2 Presenting Data in Charts and Tables. . . . . 19 2.1 Presenting Categorical Variables. . . . . . 19 2.2 Presenting Numerical Variables. . . . .. 26 2.3 Misusing Charts. . . . . 32 Chapter 3 Descriptive Statistics . . . . 43 3.1 Measures of Central Tendency . . . . 43 3.2 Measures of Position. . . . . 47 3.3 Measures of Variation. . . . . . 51 3.4 Shape of Distributions . . . . . 57 Chapter 4 Probability . . . . . . 71 4.1 Events. . . . . . 71 4.2 More Definitions . . . . . . 72 4.3 Some Rules of Probability . . . . . 74 4.4 Assigning Probabilities . . . . 77 Chapter 5 Probability Distributions . . . . 83 5.1 Probability Distributions for Discrete Variables . . .. . 83 5.2 The Binomial and Poisson Probability Distributions. . . . 89 5.3 Continuous Probability Distributions and the Normal Distribution . . . 97 5.4 The Normal Probability Plot. . . . . 105 Chapter 6 Sampling Distributions and Confidence Intervals . . . . 119 6.1 Sampling Distributions. . . . . . . 119 6.2 Sampling Error and Confidence Intervals. . . . . . 123 6.3 Confidence Interval Estimate for the Mean Using the t Distribution ( Unknown) . . . . . 127 6.4 Confidence Interval Estimation for Categorical Variables. .. . . 131 Chapter 7 Fundamentals of Hypothesis Testing . . . 141 7.1 The Null and Alternative Hypotheses. . . . . . 141 7.2 Hypothesis Testing Issues . . . . . 143 7.3 Decision-Making Risks . . . . . . . 145 7.4 Performing Hypothesis Testing . . . . . 147 7.5 Types of Hypothesis Tests . . . . 148 Chapter 8 Hypothesis Testing: Z and t Tests . . . . 153 8.1 Testing for the Difference Between Two Proportions. . . . . . 153 8.2 Testing for the Difference Between the Means of Two Independent Groups .. . . . . . 160 8.3 The Paired t Test . . . . . 166 Chapter 9 Hypothesis Testing: Chi-Square Tests and the One-Way Analysis of Variance (ANOVA). . . . . .179 9.1 Chi-Square Test for Two-Way Cross-Classification Tables . . . . . 179 9.2 One-Way Analysis of Variance (ANOVA): Testing for the Differences Among the Means of More Than Two Groups . . . . 186 Chapter 10 Simple Linear Regression . . . . . ..207 10.1 Basics of Regression Analysis . . . . . . . 208 10.2 Determining the Simple Linear Regression Equation . . . . . . 209 10.3 Measures of Variation . . . . . . 217 10.4 Regression Assumptions. . . . . . . . . 222 10.5 Residual Analysis. . . . . . .223 10.6 Inferences About the Slope. . . . . 225 10.7 Common Mistakes Using Regression Analysis . . . . . 228 Chapter 11 Multiple Regression . . . . . ..245 11.1 The Multiple Regression Model . . . . . 245 11.2 Coefficient of Multiple Determination. . . . . . 248 11.3 The Overall F test. . . . . . . 249 11.4 Residual Analysis for the Multiple Regression Model . . . . . . 250 11.5 Inferences Concerning the Population Regression Coefficients . . . . 251 Chapter 12 Quality and Six Sigma Applications of Statistics . . . . 265 12.1 Total Quality Management . . . . . 265 12.2 Six Sigma. . . . . . . 267 12.3 Control Charts . . . . . 268 12.4 The p Chart. . . . . . .271 12.5 The Parable of the Red Bead Experiment: Understanding Process Variability . . . . . . . . 276 12.6 Variables Control Charts for the Mean and Range . . . . . 278 Appendix A Calculator and Spreadsheet Operation and Configuration . . . . ..295 A.C1 Calculator Operation Conventions ...... 295 A.C2 Calculator Technical Configuration ...... 297 A.C3 Using the A2MULREG Program ...... 298 A.C4 Using TI Connect ...... 298 A.S1 Spreadsheet Operation Conventions ..... 299 A.S2 Spreadsheet Technical Configurations..... 299 Appendix B Review of Arithmetic and Algebra . . . . .301 Assessment Quiz . . . . . . 301 Symbols. . . . . 304 Answers to Quiz. . . . . . . 310 Appendix C Statistical Tables . . . 311 Appendix D Spreadsheet Tips. . . . . . ..339 CT: Chart Tips . . . . . 339 FT: Function Tips . . . . .341 ATT: Analysis ToolPak Tips (Microsoft Excel only). . . . .343 Appendix E Advanced Techniques. . . . . . 347 E.1 Using PivotTables to Create Two-Way Cross-Classification Tables . . . . 347 E.2 Using the FREQUENCY Function to Create Frequency Distributions. . . . . . . 349 E.3 Calculating Quartiles . . . . . . 350 E.4 Using the LINEST Function to Calculate Regression Results. . . . . 351 Appendix F Documentation for Downloadable Files . . . . 353 F.1 Downloadable Data Files . . . . . . 353 F.2 Downloadable Spreadsheet Solution Files. . . . . . 357 Glossary . . . . ..359 Index . . . . .367

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