Textbook Notes (369,067)
BUS 336 (3)
Chapter

# S1181_05Normal.pdf

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BUS 336
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Masood Kamlani

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Description
Stat 1181 Notes Normal Curve and DistributionDensity Curve vs Normal CurveWhen describing the shape it is not too convenient to draw so many bars in a histogramInstead a density curve is usedLike the area of all bars in histogram is 100 the area under the density curve is also 100When the curve is used to describe a Normal shape it is called the Normal curve Normal DistributionsThe Normal distribution or Normal shape is singlepeaked and symmetricNote that Normal shape always implies symmetryIt looks rather like a bell and hence it is called bellshape sometimesOnce the meanand the standard deviationare known we are able to know more about the Normal distribution The 6895997 RuleThe 6895997 rule is a very handy rule for rough estimationIt says that when a numerical variable has a Normal shape the following three statements are true 1 About 68 of all observed values are within onefrom 2 About 95 of all observed values are within twofrom 3 About 997 of all observed values are within threefrom This idea can be summarized graphically below Page 1 of 4
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