If the return is $0.10, then \(x = 0.1\) (this is our observed value). ![]() Today we're going to learn how to find a z-score for a standard normal distribution using StatCrunch. The probability that the return is less than $1 is closest to: 6.1.14-T Finding a z-score for a standard normal distribution using StatCrunch Watch on Intro Howdy I'm Professor Curtis of Aspire Mountain Academy here with more statistics homework help. The returns on ABC stock are normally distributed, where the mean is $0.60 with a standard deviation of $0.20. Positive z-values Example: Using the z-score Table ![]() Simply put, if an examiner asks you to find the probability behind a given positive z-value, you will have to look it up directly on the table, knowing that \(P(Z ≤ z) = θ(z)\) when \(z\) is positive. When calculating probability, we represent this statement as P (X < 0) Step 1 Calculate Z Score The first step is to standardize the target variable value into a standard normal random variable (Z Score) using the known standard deviation and mean. However, the table does this only when we have positive values of \(z\). Answer Losing money means the return < 0. Using the standard normal distribution table, we can confirm that a normally distributed random variable \(Z\), with a mean equal to 0 and variance equal to 1, is less than or equal to \(z\), i.e., \(P(Z ≤ z)\). All you would need to do is locate on your z-score table, where 0.93 is and then find its z-score.
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