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Subject:
Economic statistics
Category: Business and Money > Economics Asked by: elshana-ga List Price: $5.00 |
Posted:
11 Sep 2003 21:56 PDT
Expires: 11 Oct 2003 21:56 PDT Question ID: 254892 |
Hi can I have this checked please - say if n = 4 mean = 16.2 and SD = 0.12 / 2 = 0.06 P = (M<16) = P ( (M-16.2) / 0.06 < (16 - 16.2) / 0.06) = P ( Z < (16-16.2)/ 0.06) = -0.20 / 0.06 = -3.33 = .4996 I would really appreciate if someone can confirm if I have used the right methodology Elshana |
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Subject:
Re: Economic statistics
Answered By: livioflores-ga on 12 Sep 2003 00:49 PDT Rated: ![]() |
Hi elshana!! You have the following data: n = 4; (this info is useless to this problem). mean = 16.2; SD = 0.06 Normal Distribution. And you want to know the probability of the event (M < 16). In this kind of problems you must start with the transformation of the normal random variable M into the standard normal variable Z: Z = (M - mean)/ SD = (16 - 16.2)/0.06 = -0.2 / 0.06 = -3.33 Now using the Normal distribution tables you can calculate what you want: P(M < 16) = P(Z < -3.33) This is the area under the area under the standard normal curve from -3.33 to -oo, by the simmetry if the normal distribution we have that this is the same area under the standard normal curve from 3.33 to +oo, then, after consulting the normal distribution table, we have: P(M < 16) = P(Z < -3.33) = P(Z > 3.33) = P(Z > 3.33) = P(0 < Z) - P(0 < Z < 3.33) = 0.5 - 0.4996 = 0.0004 For reference see the following pages: "USING THE STANDARDIZED NORMAL DISTRIBUTION TABLE": http://myphliputil.pearsoncmg.com/student/bp_berenson_bbs_9/section6_1.pdf "The Standard Normal Distribution": http://www.oswego.edu/~srp/stats/z.htm "Normal Distribution": http://www.stat.wmich.edu/s216/normal/normal.html "Normal Distribution Table": http://people.hofstra.edu/faculty/Stefan_Waner/RealWorld/normaltable.html I hope this helps you. If you need a clarification, please ask for it before rate this answer. Best regards. livioflores-ga |
elshana-ga
rated this answer:![]() thank you for your clarification elshana |
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