T J Manufacturing Company received 10000 invoices in the las

T. J. Manufacturing Company received 10,000 invoices in the last financial year. Their auditors don’t have time to examine all of these invoices, so they want to take a random sample of 200. How could they organize the sample? Explain your approach to generate such a sample of 200 invoices.

Solution

Population size ie., total number of invoices=10000

Here population size is very large. Now we consider a sample with size 200

Then total number of possible samples are 10000c₂₀₀ ways

Now we calculate sample mean and variance.

We know that sample mean is unbaised estimator of population mean