Normal Distribution
Variance & Standard Deviation Standard deviation reflects how each data value in the set varies from the mean On the calculator; STAT→CALC 1: 1-Var Stats σx is the standard deviation For these Dow Jones monthly gains/losses find the mean and standard deviation 1.38, 0.03, 0.44, 1.06, -0.06, 0.72, 1.58, 1.40, -0.90, -0.19, 0.37, 1.36
Standard Normal Curve A normal distribution with the mean at the center and the data within 3 standard deviations of the mean
Example: In a class the mean test score was a 78 with a standard deviation of 5. Find the range of grades within 1, 2 & 3 standard deviations of the mean. If you scored a 100 on the test, do you think your grade is an outlier?
Histograms and Normal Distributions Mean height 70 Standard deviation 3.74