Point Estimate Calculator
The point estimation parameter generally involves the calculation and manipulation of data and inferring the expected results from it. You can simply say it is “best guess.” For instance, you flip a coin into the air. There are 50/50 chances for both sides to be on the top. If the weight of the coin is more on one side, the chances are like 40/60. It is called point estimation. Point estimation proves a useful process to conclude the consequences of the given data.
Point Estimation vs. Interval Estimation
Point estimation is specified and definite, whereas interval estimation is the range of expected results. For example, a businessperson expects that the profit of the month will be 2 lac, it is a point estimation. On the other hand, if he is expecting the result to be 2 to 3 lac, it is an interval estimation. However, point estimation is more precise and accurate as compared to interval estimation.
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Formula of Point Estimate Calculator
To calculate the point estimate, we have a simple formula mentioned below:
S2 = Σ (x-x̄)2 / n-1
It is a simple formulation suggested for unbiased calculation, where we are taking some of the values from the data. On the other hand, if we are doing the biased calculation and calculating all the data, we get the formula:
S2 = Σ (x-x̄)2 / n
Where,
S = point estimation
x = selected data
x̄ = average of the data
n = number of trials
Note:
To know about points of intersection, you can use our Point Of Intersection Calculator.
Example
There is a cricket stadium intending to expand the seating capacity of the area. They must know the number of people attending the events before and the variability in this number. We have selected nine out of thousands of results of the attendance of the variable population. These are 8.8, 14.0, 21.3,7.9,12.5, 20.6,16.3,14.1,13.0
Calculating the point estimation for the given data:
S2 = Σ (x-x̄)2 / n-1
x̄ = Σx/n
Putting values, we get
x̄ = Σx/n
x̄ = 128.5/9
x̄ = 14.28
Now putting the data in the 1st formula,
S2 = Σ (x-x̄)2 / n-1
(x-x̄)2, this must be calculated separately, as we have done, simply putting the values to get the answer,
S2 = 168.95/8
S2 = 21.119
S = √21.119
S = 4.60
It is a manual way to calculate the point estimate.
How to use Point Estimate Calculator?
The steps to use a point estimate calculator are as follows:
Step 1: Enter the value of a number of successes in the first required input.
Step 2: Enter the value of a number of trials in the second required input.
Step 3: Enter the value of the confidence interval in the third required input.
Step 4: The calculator will automatically display an answer on the screen.
Calculator use
To get rid of the complicated calculations and to do it simply, you can use the above calculator. Simply put the values in the above columns and click on the results to find the answer.
