Statistics and Probability

Quarter 3 – Module 6:
Central Limit Theorem
This module was designed and written with you in mind. It is here to help you master the concepts of
the Central Limit Theorem and the skills associated with solving problems related to the topic.

After going through this module, you are expected to:

1. illustrate the Central Limit Theorem; (M11/12SP-IIIe-2)
2. define the sampling distribution of the sample mean using the Central Limit Theorem; and (M11/12SP-
IIIe-3)
3. solve problems involving sampling distributions of the sample mean. (M11/12SP-IIIf-1)

Statistics is the most commonly used branch of mathematics. We use it almost every day. It is also a
must-have knowledge for a data scientist. Central Limit Theorem is the cornerstone of it.
In statistics, the given data set represents a sample from the entire population. Using this sample, we
try to see the patterns in the data. We then try to generalize the patterns in the sample to the population while
making the predictions. Central limit theorem helps us to make inferences about the sample and population
parameters.

What’s In
The context of Central Limit Theorem is comprised of statistical terms. To test your prior
knowledge of the concepts, let’s see if you have understood the terms listed by answering the activity on the
next page.

Match the definitions in Column A with the corresponding statistical terms in Column B. Write the letter of
the correct answer on your answer sheet.

Column A Column B
1. The set that contains all data of A. Mean
elements, individuals or measurements
from your experimenting space.

2. It describes the data/population /sample B. Population

range and how data is spread in that range.

3. Average value of all data from your C. Sample

population or sample.
4. It is a randomly selected subset from the D. Distribution
population where the sample size is
denoted by n.

5. It describes how spread the population E. Standard Deviation

is.
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 6. The population is spread perfectly F. Sample Size
symmetrical with (σ) standard deviations
around the mean value.

G. Normal Distribution

What’s New
Central Limit Theorem states that the sampling distribution of the mean approaches a normal
distribution, as the sample size increases.
Regardless of the initial shape of the population distribution, if samples of size n are randomly
selected from a population, the sampling distribution of the sampling means will approach a normal

The standard error of the mean measures the degree of accuracy of the sample mean ( 𝑥̅ ) as an
distribution as the sample size n gets larger.

estimate of the population mean (). It is also known as the standard deviation of the sampling distribution
of the sampling mean, denoted by 𝑥̅ .

σ
Formula: σ x =
√n
where: σ = population standard deviation
n = sample size

Remember that if we want to get a good estimate of the population mean, we have to make n
sufficiently large. This fact is stated as a theorem in the Central Limit Theorem.
Now, can you determine the standard error of the mean of the given set of data below? Your
knowledge of the formula and manipulating the given data will be handy in solving this problem.

I know that you can, so let’s do it!

ACTIVITY
Direction: Read the problems below then write your answer on a separate paper.

1. Determine the standard error of the mean for each of the following sample size n given the population

a. 𝑛 = 5
standard deviation of 30. Round off your answer to the nearest hundredths.

b. 𝑛 = 12
c. 𝑛 = 28
d. 𝑛 = 35
e. 𝑛 = 40

2. Analyze the answers obtained in item number 1. What can you say about the relationship of the sample
size and the standard error?

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3. How does this relationship affect the distribution?

4. When do we obtain a good estimate of the mean?

5. When do we say that the mean is a poor estimate?

What is It
Central Limit theorem is important because it teaches researchers to use a limited sample to make
intelligent and accurate conclusions about a greater population. It also justifies the use of normal curve
methods for a wide range of problems.

σ when computing for the probability that 𝑋̅ will

x −μ
Z=
Furthermore, it justifies the use of the formula

take a value within a given range in the sampling distribution of 𝑋̅.

√n

where: 𝑿̅ = is the sample mean

µ = population mean,
σ = population standard deviation
n = sample size

When do you use these formulae?

x −μ
 Z=
σ
x −μ
Z=
 σ
√n
Study the illustrative sample problems below.

1. Assume that the variable is normally distributed, the average time it takes a group of senior high school
students to complete a certain examination is 46.2 minutes while the standard deviation is 8 minutes. What
is the probability that a randomly selected senior high school students will complete the examination in less
than 43 minutes? Does it seem reasonable that a senior high school student would finish the examination in
less than 43 minutes?

a. If 50 randomly selected senior high school students take the examination, what is the probability
that the mean time it takes the group to complete the test will be less than 43 minutes? Does it seem
reasonable that the mean of the 50 senior high school students could be less than 43 minutes?

Solution for #1:

Given:  = 46.2 𝑚𝑖𝑛𝑢𝑡𝑒𝑠; 𝜎 = 8 𝑚𝑖𝑛𝑢𝑡𝑒𝑠; 𝑋̅ = 43 𝑚𝑖𝑛𝑢𝑡𝑒𝑠

Step1: Identify the parts of the problem.

Find: 𝑃(𝑋̅ < 43)

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Step 2: Use the formula to find the z-score

x −μ 43−46.2
Z= =
σ 8

x=−0.40

𝑧 = −0.40 has a corresponding area of 0.1554.

Step 3: Use the z-table to look up the z-score you calculated in step 2.

looking for: 𝑃(𝑋̅ < 43)

Step 4: Draw a graph and plot the z-score and its corresponding area. Then, shade the part that you’re

- 0.40
𝑃(𝑋̅ < 43) = 0.500 − 0.1554
Step 5: Subtract your z-score from 0.500.

𝑃(𝑋̅ < 43) = 0.3446

𝑃(𝑋̅ < 43) = 34.46%

Step 6: Convert the decimal in Step 5 to a percentage.

Therefore, the probability that a randomly selected senior high school student will complete the
examination in less than 43 minutes is 34.46%. Yes, it is reasonable to finish the exam in less than 43
minutes since the probability is more than 1.

Solution for #1.a:

Given:  = 46.2 𝑚𝑖𝑛𝑢𝑡𝑒𝑠; 𝜎 = 8 𝑚𝑖𝑛𝑢𝑡𝑒𝑠; 𝑋̅ = 43 𝑚𝑖𝑛𝑢𝑡𝑒𝑠; 𝑛 = 50 𝑠𝑡𝑢𝑑𝑒𝑛𝑡𝑠

Step1: Identify the parts of the problem.

Find: 𝑃(𝑋̅ < 43)

Step 2: Use the formula to find the z-score

x −μ 43−46.2
Z= =
σ 8
√n √50
x=−2.83

Step 3: Use the z-table to look up the z-score you calculated in step 2.

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𝒛 = −2.83 has a corresponding area of 0.4977

looking for: 𝑃(𝑋̅ < 43)

Step 4: Draw a graph and plot the z-score and its corresponding area. Then, shade the part that you’re

Shaded part

-2.83
Since we are looking for the probability less than 43 minutes, the shaded part will be on the
left part of
– 2.83.

𝑃(𝑋̅ < 43) = 0.500 − 0.4977

Step 5: Subtract your z-score from 0.500.

𝑃(𝑋̅ < 43) = 0.0023

𝑃(𝑋̅ < 43) = 0.23%

Step 6: Convert the decimal in Step 5 to a percentage.

Therefore, the probability that a randomly selected 50 senior high school students will complete the
examination in less than 43 minutes is 0.23%. No, it’s not reasonable since the probability is less than 1.

2. An electrical company claims that the average life of the bulbs it manufactures is 1 200 hours with a
standard deviation of 250 hours. If a random sample of 100 bulbs is chosen, what is the probability that the
sample mean will be between 1150 hours and 1 250 hours?

Solution:

𝜎 = 250 ℎ𝑜𝑢𝑟𝑠; 𝑛 = 100 𝑏𝑢𝑙𝑏𝑠 𝑋̅ = 1 150 & 1 250

Step1: Identify the parts of the problem.
Given:  = 1200 ℎ𝑜𝑢𝑟𝑠;

Unknown: 𝑃(1150 < 𝑋̅ < 1250)

ℎ𝑜𝑢𝑟𝑠

x −μ 1150−1200 x−μ 1250−1200

Z= = Z= =
σ 250 σ 250
√n √ 100 √n √100
z=−2 z=2

𝒛 = ±2 has a corresponding area of 0.4772

Step 3: Use the z-table to look up the z-score you calculated in step 2.

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looking for: 𝑃(1150 < 𝑋̅ < 1250)
Step 4: Draw a graph and plot the z-score and its corresponding area. Then, shade the part that you’re

0.4772 0.4772

Since we
are
looking for the probability between 1 150 hours and 1 250 hours, the shaded part will be between –2 and 2.

𝑃(1150 < 𝑋̅ < 1250) = 0.4772 + 0.4772

Step 5: Add the two z-score values.

𝑃(1150 < 𝑋̅ < 1250) = 0.9544

𝑃(1150 < 𝑋̅ < 1250) = 95.44%

Step 6: Convert the decimal in Step 5 to a percentage.

Therefore, the probability of randomly selected 100 bulbs to have a sample mean between 1 150
hours and 1 250 hours is 95.44%.

What’s More
Let’s see how well you understood our discussion. At this point, I want you to solve the following
problems. Show your complete solution by following the step-by step procedure.

1. The average number of milligrams (mg) of cholesterol in a cup of a certain brand of ice cream is 660 mg,
the standard deviation is 35 mg. Assume the variable is normally distributed.
a. If a cup of ice cream is selected, what is the probability that the cholesterol content will be more
than 670 mg?
b. If a sample of 10 cups of ice cream is selected, what is the probability that the mean of the sample
will be larger than 670 mg?

2. In a study of the life expectancy of 400 people in a certain geographic region, the mean age at death was
70 years, and the standard deviation was 5.1 years. If a sample of 50 people from this region is selected,
what is the probability that the mean life expectancy will be less than 68 years?

3. The average cholesterol content of a certain canned goods is 215 milligrams, and the standard deviation
is 15 milligrams. Assume that the variable is normally distributed. If a sample of 25 canned goods is
selected, what is the probability that the mean of the sample will be greater than 220 milligrams?

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 4. The average public elementary school has 468 students with a standard deviation of 87. If a random
sample of 38 public elementary schools is selected, what is the probability that the number of students
enrolled is between 445 and 485?

What I Have Learned

This time, I want you to work on the activity below based on your understanding of the topic by
completing each sentence.

I. Supply the missing words/phrase that will make the sentence complete
1. Central Limit Theorem states that the sampling distribution of the mean approaches a
____________________________ as the sample size increases.

2. A good estimate of the mean is obtained if the standard error of the mean is small or _______________

3. The mean is a poor estimate if the standard error of the mean is _______________.

4. The mean of the sampling distribution of the sample means is _______________ to the population mean.

5. The _____________________________ measures the degree of accuracy of the sample mean as an

estimate of the population mean.

II. In your own understanding, answer the questions below.

1. Do we always add or subtract from 0.50? Explain.

2. When do we add the corresponding area of the z-score to 0.50?

3. When do we add the two corresponding areas of the z-score?

II. Enumerate the steps in solving problem using Central Limit Theorem?

What I Can Do

Directions: Read, analyze, and solve the problems below. Show your complete solutions.

1. There are 250 dogs at a dog show that weigh an average of 12 pounds, with a standard deviation of 8
pounds. If 4 dogs are chosen at random, what is the probability that the average weight is greater than 8
pounds?

2. The average number of pages in a novel is 326 with a standard deviation of 24 pages. If a sample of 50
novels is randomly chosen, what is the probability that the average number of pages in these books is
between 319 and 331?

3. The number of driving miles before a certain kind of tire begins to show wear is on the average, 16,800
miles with a standard deviation of 3,300 miles.
a. What is the probability that the 36 tires will have an average of less than 16,000 miles until the
tires begin to wear out?
b. What is the probability that the 36 tires will have an average of more than 18,000 miles until the
tires begin to wear out?
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