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Chapter 6
Sampling Method and Determining

Sampling Size
Why Sample the Population?
1. To contact the whole population would be
time-consuming.
2. The cost of studying all the items in a
population may be prohibitive.
3. The physical impossibility of checking all
items in the population.
4. The destructive nature of some tests.
5. The sample results are adequate.
Probability Sampling
• A probability sample is a sample

selected such that each item or person
in the population being studied has a
known likelihood of being included in
the sample.
Most Commonly Used Probability
Sampling Methods
• Simple Random Sample

• Systematic Random
Sampling
• Stratified Random
Sampling
• Cluster Sampling
Simple Random Sample
Simple Random Sample: A sample selected so that each

item or person in the population has the same chance of
being included.
Simple Random Sample: Using
Tables of Random Numbers
A population consists of 845 employees of Nitra Industries. A sample of 52

employees is to be selected from that population.
A more convenient method of selecting a random sample is to use the
identification number of each employee and a table of random numbers
such as the one in Appendix B.6.
Stratified Random Sampling
Stratified Random Sampling: A population is first divided into subgroups,

called strata, and a sample is selected from each stratum. Useful when a
population can be clearly divided in groups based on some characteristics.
Stratified Random Sampling
Suppose we want to study the advertising expenditures for the 352 largest companies in the United
States to determine whether firms with high returns on equity (a measure of profitability) spent
more of each sales dollar on advertising than firms with a low return or deficit.
To make sure that the sample is a fair representation of the 352 companies, the companies are
grouped on percent return on equity and a sample proportional to the relative size of the group is
randomly selected.
Non Probability Sampling
• A probability sample is a sample

selected such that each item or person
in the population being studied has not
known likelihood of being included in
the sample.
Most Commonly Used Non
Probability Sampling Methods
• Purposive Sampling
• Accidental Sampling
• Snow Ball Sampling
• Saturated Sampling
Selecting an Appropriate Sample Size
There are 3 factors that determine the size

of a sample, none of which has any direct
relationship to the size of the population.
• The level of confidence desired.
• The margin of error the researcher will tolerate.
• The variation in the population being studied.
9-11
Sample Size for Estimating the
Population Mean
9-12
Sample Size Determination for a Variable –
Example
A student in public administration wants to

determine the mean amount members of
city councils in large cities earn per month
as remuneration for being a council
member. The error in estimating the mean
is to be less than $100 with a 95 percent
level of confidence. The student found a
report by the Department of Labor that
estimated the standard deviation to be
$1,000. What is the required sample size?
Given in the problem:

• E, the maximum allowable error, is $100.
• The value of z for a 95 percent level of
confidence is 1.96.
• The estimate of the standard deviation is
$1,000.
9-13
Sample Size Determination for a Variable –
Another Example
A consumer group would like to estimate

the mean monthly electricity charge for a
single family house in July within $5
using a 99 percent level of confidence.
Based on similar studies, the standard
deviation is estimated to be $20.00. How
large a sample is required?
9-14
Sample Size for Estimating a Population
Proportion
where:
n is the size of the sample
z is the standard normal value corresponding to
the desired level of confidence
E is the maximum allowable error
9-15
Sample Size Determination – Example
The American Kennel Club wanted to estimate

the proportion of children that have a dog as a
pet. If the club wanted the estimate to be
within 3% of the population proportion, how
many children would they need to contact?
Assume a 95% level of confidence and that
the club estimated that 30% of the children
have a dog as a pet.
9-16
Another Example
A study needs to estimate the
proportion of cities that have
private refuse collectors. The
investigator wants the margin of
error to be within .10 of the
population proportion, the desired
level of confidence is 90 percent,
and no estimate is available for the
population proportion. What is the
required sample size?
9-17
Other Formula to take Sample
◻ Slovin’s theory
▪ Scientific ways of determining a representative
(acceptable) sample size from any given population
▪ Where:
n= sample size
N = population size
e = margin of error

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Chapter 6

Sampling Method and Determining

• A probability sample is a sample

• Simple Random Sample

Simple Random Sample: A sample selected so that each

A population consists of 845 employees of Nitra Industries. A sample of 52

Stratified Random Sampling: A population is first divided into subgroups,

• A probability sample is a sample

There are 3 factors that determine the size

A student in public administration wants to

Given in the problem:

A consumer group would like to estimate

The American Kennel Club wanted to estimate

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