COURSE OUTLINE

STATISTICAL INFERENCE (with Econometrics

Lab)
Class BSAF-3
Course MTS 202- Statistical Inference
Class # 97122, 97123
Instructor Dr. Muhammad Najam uddin

Class details

Session Day(s) Mon/ Wed 04—5:15 (97122) 05:30 -06:45 (97123)

Credit Hours 3 Credit Hours

Email mnuddin@iba.edu.pk

Counseling Hours

Office Location

Course Description

This second course in Statistics aims at enhancing students’ understanding and competency in carrying
out quantitative analysis in business, economics, social sciences, and computer sciences. The course
covers areas such as sampling and sampling distribution, point and interval estimation, and test of
hypothesis based on critical and p-value approaches. The parameters of interest are one and two
population means, variances, proportions, correlation and regression parameters, etc. The purpose of
inferential statistics is to test, deduce and infer the validity of different types of hypotheses and models
built on the basis of the raw data collected in diverse problem situations.

BBA Program Learning Goals

1. Communication Skills
Students will become effective speakers, listeners, writers and team members

2. Knowledge of All Business Disciplines

Students will gain a broad-based understanding of a range of business disciplines

3. Critical Thinking
Students will develop the ability to classify, analyze and evaluate the available data using appropriate techniques
for effective decision making.

4. Ethics
Students will have an awareness and understanding of ethical issues.

5. Glocal Mindset
Students will develop a focus on global connections with local contexts through awareness of diversity across
cultures and markets.

Course Learning Outcomes (CLOs)

1. Understand concepts, methods, and use of relevant to sampling distribution of sample mean and
proportion. (PLO 302)
2. Compute and interpret interval estimates and conduct hypothesis tests of means, proportions
and variance
to assess statistical and practical significance. (PLO 302)
3. Estimate and the use simple and multiple regression to determine significance of relationship
between two more variables in business context. (PLO 302)
4. Estimate, interpret and use logistic regression in prediction and marginal effect computation.
(PLO 302)
5. Compute and use decision trees for regression and classification in business applications. (PLO
302)
6. Analyze categorical data and chi-square tests of independence and goodness of fit. (PLO 302)

AOL Assessment Mapping

PLO mapped: The course is mapped with BBA/BSAF PLO 302

Assessment Tool: AOL assessment not applicable

Course Learning Outcomes mapped to Program Learning Outcomes

Knowledge
Communicati of All Critical
Ethics Glocal Mindset
Program Learning Goals on Skills Business Thinking
Disciplines

Course Learning
Outcomes

1 PLO302

2 PLO302

3 PLO302

4 PLO302

5 PLO302

6 PLO302

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 Text Book and Course Reading Material

Text and Reference Books:

1. Anderson, et al. (2020). Statistics for Business and Economics (14 th Edition). South-Western
Cengage Learning (Main Text)

2. Weiss (2017). Introductory Statistics. (10th or latest edition) Addison-Wesley. (Weiss)

3. Newbold, Calrson and Thorne (2023). Statistics for Business and Economics (10 th Edition).
Pearson. (Newbold)

4. Moore, McCabe and Craige (2021). Introduction to the Practice of Statistics. (10 th Edition). WH
Freeman and Company. (Moore)

5. Keller, Gerld (2018). Statistics for management and economics. 11 th Cengage Learning.
(Keller)

6. Walpole, Myers and Myers and Ye (2012) Probability and Statistics for Engineers and
Scientists (9th Edition). Prentice Hall. (Walpole)

7. Bowerman, O’Connell, and Murphree (2017). Business statistics in practice: using data,
modeling, and analytics (Bowerman), McGraw-Hill

8. Camm, Cochran, Fry, and Ohlmann (2021). Business Analytics. Cengage. (Camm)

Tentative Teaching Plan

SN Topics Chapter, Mapping to

Resources Course Learning
Outcomes
1 1.Parameter and statistic, random sampling. Sampling Weiss Ch7, CL01
error. Branches of statistics. Descriptive and predictive Anderson Ch7,
analytics. Camm Ch1
2. Sampling distribution. Central Limit Theorem.
2 1. Computing probabilities using the CLT. Weiss Ch7, CL01
2. Sampling distribution of sample proportion. Anderson Ch7
3 1. Estimate, estimator and estimation. Properties of Weiss Ch8, CL02
good point estimator. Point estimation & interval Anderson Ch7, 8
estimation, confidence coefficient & margin of error.
2. Confidence interval for population mean when σ2 is
known
4 1. Confidence interval for population mean when σ 2 is Weiss Ch8, CL02
unknown Anderson Ch7, 8
2. Recap of CLT, sampling distribution and CI

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 5 1.Null & alternative hypotheses, simple & composite Weiss Ch9, CL02
hypotheses, level of significance or Type-I error, Type- Anderson Ch9
II error, test statistic, critical region, one-tailed & two-
tailed tests.
2. P-value approach to hypothesis testing
6 1. Hypothesis test for population mean when σ 2 is Weiss Ch10, CL02
unknown Anderson Ch10
2. Confidence interval for the difference between
population means when σ12 and σ22 are known, when σ12
and σ22 are unknown
7 1. Hypothesis tests for the difference between Weiss Ch10, CL02
population means when σ12 and σ22 are unknown Anderson Ch10
2. Hypothesis tests for difference between means for
paired samples.
8 1. Introduction to analysis of variance (one-way Weiss Ch14, CL03
ANOVA) Anderson Ch14
2. Simple linear regression, parameter estimation via
Least Square
9 1. Inference in regression. Correlation, its measurement Weiss Module A CL03
and properties & Ch16,
2. Multiple regression: prediction and model Anderson Ch15
evaluation
10 1.Incorporating qualitative independent variables in Anderson Ch15 CL04
regression
2.Logistic regression for binary dependent variable
11 1. Interpretation coefficients in terms of probability and Anderson Ch15 CL03
odds ratio Weiss Ch16,
2. Analysis of residuals in regression Anderson Ch15. CL04
R handouts
12 1. Using R for multiple and logistic regression Weiss Ch16, CL03
2. Regression and classification trees. Interpretation and Anderson Ch15,
prediction Camm Ch3
13 1. Chi-square test for goodness-of-fit Weiss Ch13, CL06
2. Chi-square test for independence of attributes Anderson Ch12
14 1. Confidence interval for population proportion and Weiss Ch12, CL03
difference between population proportions. Weiss 12,
2. Testing of hypotheses for population proportion and Anderson Ch10
difference between population proportions.
*. For BBA programs the title is ‘Statistical Inference (with Econometrics Lab)’
**. Suggested to be conducted using software in computer lab for BBA
*Some sessions will be based on R software. Introduction to R will be provided in the course. Student can work on
their projects using R/Python/Excel as per their instructors advise.
In addition students can learn topics from a variety of sources, books, websites, courses of other
universities etc. for example Penn State University has a nice course on Applied Statistics available at
https://onlinecourses.science.psu.edu/stat500/node/

Prerequisite Skills and Knowledge to take this Course

Be comfortable with using technology for learning. Software: R/ Python /Excel.

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 This course follows relative (normal curve) grading. Terminal exam is cumulative i.e. based on entire
course.

Marks Distribution

Total Total Marks Total Learning

Marks Head
Frequency Exempted /Frequency Marks /Head Outcomes

CL01 through
Quizzes 4 1 4 15
CL06

Assignment 1 0 13 10 CL02, CL03

Mid Term Exam 1 0 20 25 CL01, CL02

CL03 through
Final Exam 1 0 50 50
CL06

Total Marks 100

There will be 4 quizzes and 3 best will be counted. Mid Term 7-12 Oct. (2) Tentative dates of quizzes
are Q1: 9 Sep, Q2: 2 Oct, Q3: 11 Nov, Quiz 4: 11 Dec. Mid semester break 14-19 October (3)
Holidays: 20 Aug (Bhitai), 16 Sep (Eid Milad), 9 Nov. Due date of Assignment is 2 nd last class of
semester. Last class14 Dec.
Note: Attendance requirement is a must. Max 5 absences (including all reasons) are allowed. A student who is absent in 6
classes will get a penalty of one grade loss (e.g. if the student’s actual grade is A, he/she will be awarded A-) and anyone who is
absent in 7 classes will get penalty of 2 grades cut. More than 7 absences will automatically make you ineligible to continue the
course as your final script will not be marked. Final exam will be centralized across all sections of SI. Final grades distribution
will be relative and follow roughly normal symmetric distribution.

Teaching and Innovation

- LMS/Sakai will be used to share reading material with the students. The pedagogy used for
the course will be a combination of: Grades will be posted on ERP.
- Demonstration of R software in class will be made
- Students should bring the calculator & textbook to class
- For discussions and course related queries please join the class WhatsApp group

Experiential Learning Exposure(s)

 Group project on collection of real data from listed companies and economy and statistical analysis
including graphs plots, hypothesis tests and regression using software

Social Contribution / Impact

 Inculcating among the students an awareness of importance of real data and appropriate ways for their

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 analysis

Academic Conduct

IBA policy

Attendance Policy

IBA policy

Plagiarism Policy

IBA policy

Withdrawal Policy

IBA policy