Analyzing the Setup
We are given a dataset of n=20 observations with an initial mean of 10 and a standard deviation of 2.5. A data entry error occurred where a value of 25 was recorded instead of the correct value of 35.
Our objective is to determine the true mean, α, and the true variance, β.
Phase 1
The Linear Correction
The mean
xˉ is defined as the sum of all values divided by the count:
xˉ=n∑xi
Given the initial parameters, the incorrect sum is:
∑xold=20×10=200
To correct this, we remove the incorrect value and add the correct one:
∑xnew=200−25+35=210
The new mean
α is calculated as:
α=20210=10.5
Phase 2
The Quadratic Trap
Variance is defined by the relationship between the sum of squares and the square of the mean:
σ2=n∑xi2−(xˉ)2
Using the incorrect variance
σ2=(2.5)2=6.25, we solve for the incorrect sum of squares:
6.25=20∑xold2−(10)2
Rearranging the terms:
20∑xold2=6.25+100=106.25
∑xold2=2125
Phase 3
The Surgical Repair
We must now update the sum of squares by removing the square of the incorrect value and adding the square of the correct value:
∑xnew2=∑xold2−(25)2+(35)2
Substituting the values:
∑xnew2=2125−625+1225=2725
Finally, we calculate the corrected variance
β using the new sum of squares and the new mean
α=10.5:
β=202725−(10.5)2
The true mean is α=10.5 and the true variance is β=26. The final result is the ordered pair (10.5,26).