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Department
Quantitative Methods
Course
QMS 102
Professor
Ron Babin
Semester
Fall

Description
Business Statistics II QMS202 Dr. Changping Wang 7.2. Normal Distribution N(, ) For a normal distribution, the probability density function (pdf) is given by 1 (x) f (x) =2exp{ 2 } where is the mean and > 0 is the standard deviation. Winter 2012 Session 1 Page 1 Business Statistics II QMS202 Dr. Changping Wang The StandardNormal distribution Z~ N(0, 1) The probability density function (pdf) is given by f (x) =1exp{ } 2 2 where = 0and =1. Winter 2012 Session 1 Page 2 Business Statistics II QMS202 Dr. Changping Wang Calculator Lesson 5 (Page 305-306): Normal Distribution 1) Ncd which stands for Normal cumulative distribution. P(X #) = ? 2) IncN which stands for Inverse Normal. P(X ?) = given Note: To represent , we can use any value < 6; To represent + , we can use any value > + 6. Winter 2012 Session 1 Page 3 Business Statistics II QMS202 Dr. Changping Wang EXAMPLE 1: For the standard normal distribution Z~N(0, 1), find z such that 1) P(Zz)=0.05 Tail: Right Area: 0.05 : 1 : 0 We obtain z= 1.645 3) P(-z< Z < z)=0.95 Tail: CNTR Area: 0.95 : 1 : 0 We obtain z= 1.960 Chapter 10: Confidence Interval Estimation Winter 2012 Session 1 Page 4
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