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© 2003 Prentice-Hall, Inc. Chap 5-1 Continuous Probability Distributions Continuous Random Variable Values from interval of numbers Absence of gaps Continuous.

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Presentation on theme: "© 2003 Prentice-Hall, Inc. Chap 5-1 Continuous Probability Distributions Continuous Random Variable Values from interval of numbers Absence of gaps Continuous."— Presentation transcript:

1 © 2003 Prentice-Hall, Inc. Chap 5-1 Continuous Probability Distributions Continuous Random Variable Values from interval of numbers Absence of gaps Continuous Probability Distribution Distribution of continuous random variable Most Important Continuous Probability Distribution The normal distribution

2 The Normal Distribution: Empirical Rule 68-95-99.7 Rule ~68% of the area Lies within 1 std. dev. ~95% of the area Lies within 2 std. dev. ~99.7% of the area Lies within 3 std. dev. From the mean Mean Median Mode X f(X) 

3 The Normal Distribution “Bell Shaped” Symmetrical Mean, Median and Mode are Equal Interquartile Range Equals 1.33  Random Variable has Infinite Range Mean Median Mode X f(X) 

4 Many Normal Distributions Varying the Parameters  and , we obtain Different Normal Distributions There are an Infinite Number of Normal Distributions

5 © 2003 Prentice-Hall, Inc. Chap 5-5 Finding Probabilities Probability is the area under the curve! c d X f(X)f(X)

6 © 2003 Prentice-Hall, Inc. Chap 5-6 Normal Distribution in Statcrunch Stat Calculators Normal: Enter mean and standard deviation Either solve a probability for a cumulative range Or solve a cumulative range for a probability

7 © 2003 Prentice-Hall, Inc. Chap 5-7 Assessing Normality Not All Continuous Random Variables are Normally Distributed It is Important to Evaluate how Well the Data Set Seems to be Adequately Approximated by a Normal Distribution

8 © 2003 Prentice-Hall, Inc. Chap 5-8 Assessing Normality Construct Charts For small- or moderate-sized data sets, do stem- and-leaf display and box-and-whisker plot look symmetric? For large data sets, does the histogram or polygon appear bell-shaped? Compute Descriptive Summary Measures Do the mean, median and mode have similar values? Is the interquartile range approximately 1.33  ? Is the range approximately 6  ? (continued)

9 © 2003 Prentice-Hall, Inc. Chap 5-9 Assessing Normality Observe the Distribution of the Data Set Do approximately 68% of the observations lie between mean 1 standard deviation? Do approximately 4/5 of the observations lie between mean 1.28 standard deviations? Do approximately 95% of the observations lie between mean 2 standard deviations? Evaluate Normal Probability Plot Do the points lie on or close to a straight line with positive slope? (continued)

10 © 2003 Prentice-Hall, Inc. Chap 5-10 Assessing Normality Normal Probability Plot Arrange Data into Ordered Array Find Corresponding Standardized Normal Quantile Values Plot the Pairs of Points with Observed Data Values on the Vertical Axis and the Standardized Normal Quantile Values on the Horizontal Axis Evaluate the Plot for Evidence of Linearity (continued)


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