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Understanding Normal Distribution Basics

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0% found this document useful (0 votes)
21 views6 pages

Understanding Normal Distribution Basics

Uploaded by

markielzamayla1
Copyright
© All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd

NORMAL DISTRIBUTION

The normal probability distribution or Gaussian distribution (named after the


astronomer Karl Gauss) is a continuous probability distribution graphically represented
by a symmetrical, bell – shaped curve or commonly known as the “normal curve”.

A normal curve has the following characteristics:


1. The mean, median, and mode are equal.
2. The curve is symmetric about the mean.
3. The total area or probability that lies under the normal curve is 1 or 100%.
4. As the curve extends farther and farther away from the mean, it gets closer and
closer to the x-axis but never touches it.

The Standard Normal Distribution


It is the distribution of a normal random variable with mean zero and a standard
deviation of one.

The Standard Score (z- score)


 represents the number of standard deviations a random variable x falls from the
mean.
 Using z-scores, any normal distribution can be transformed into the standard
normal distribution.

Formula:
𝑣𝑎𝑙𝑢𝑒−𝑚𝑒𝑎𝑛 𝑥−𝜇
𝑧= =
𝑠𝑡𝑎𝑛𝑑𝑎𝑟𝑑 𝑑𝑒𝑣𝑖𝑎𝑡𝑖𝑜𝑛 𝜎

Example 1

The test scores for a civil service exam are normally distributed with a mean of 152 and a
standard deviation of 7. Find the standard z-score for a person with a score of:

(a) 161 (b) 148 (c) 152


𝑥−𝜇 161−152 𝑥−𝜇 148−152 𝑥−𝜇 152−152
𝑧= = 𝑧= = 𝑧= 𝜎 = 7
𝜎 7 𝜎 7
= 1.29 = −0.57 =0
A. Finding the data value X when a standard score z is given

Example 2

The test scores for a civil service exam are normally distributed with a mean of 152 and a
standard deviation of 7. Find the test score for a person with a standard score of:

(a) 2.33 (b) –1.75 (c) 0


𝑥 = 𝜇 + 𝑧𝜎 𝑥 = 152 + (−1.75)(7) 𝑥 = 152 + (0)(7)
𝑥 = 152 + (2.33)(7) 𝑥 = 139.75 𝑥 = 152
𝑥 = 168.31

B. Finding Probabilities

Probabilities or cumulative areas are shown in Appendix B (Areas under the


Standard Normal Curve) table located in the last page of this module.

Rules:
1. To find the probability that z is less than (to the left of) a given value, read the
cumulative area in the table corresponding to that z-score.

2. To find the probability that z is greater than (to the right of) a given value, subtract
the cumulative area in the table from 1.

3. To find the probability that z is between two given values, find the cumulative
areas for each and subtract the smaller area from the larger.

Example 3

Let z be a standardized variable. Find the following probabilities using the areas of the
normal curve table.
1. P z  2.4 = 0.9918

2. P z  0.58 = 1 − 0.2810 = 0.7190

3. P z  2.24 = 1 − 0.9875 = 0.0125

4. P  0.25  z  1.64 = 𝑃 (𝑍 < 1.64) − 𝑃(𝑍 < −0.25)


= 0.9495 − 0.4013
= 0.5482
C. Finding z-Scores from Given Areas

Example 4

1. Find the z- score with an area of 84.61% falling to the left.

Solution: Since we are concerned on the area falling to the left, looking at
Appendix B, the area 84.61% or 0.8461 corresponds to z-score 1.02. Thus,
𝑃(𝑍 < 𝑧) = 0.8461
z = 1.02

2. Find the z- score with an area of 0.9345 falling to its right.

Solution: The area indicated falls to the right, so we need to subtract the indicated
area from 1, and then locate the z-score of the resulting area using the table.
𝑃(𝑍 > 𝑧) = 0.9345
𝑃(𝑍 < 𝑧) = 1 − 0.9345
𝑃 (𝑍 < 𝑧) = 0.0655
𝑧 = −1.51

If a random variable x is normally distributed, the probability that x will fall within an
interval is equal to the area under the curve in the interval.

Example 5

Given a normal distribution with   40 and   6 , find

a) the probability that X assumes a value greater than 50.

Solution:

𝑋 − 𝜇 50 − 40
𝑍= = = 1.67
𝜎 6

𝑃 (𝑍 > 1.67) = 1 − 0.9525

𝑃 (𝑍 > 1.67) = 0.0475


b) the value X that has 38% of the areas below it.

Solution: looking at the table, 38% or 0.38 corresponds to the z-score between
−0.3 𝑎𝑛𝑑 − 0.31, thus, we take their average which is the z-score= -0.305. Then
to find X, we use this z-value to the equation 𝑥 = 𝜇 + 𝑧𝜎
𝑥 = 𝜇 + 𝑧𝜎

𝑥 = 40 + (−0.305)(6)

𝑥 = 38.17

Applications

1. IQ scores are normally distributed with a mean of 100 and a standard deviation of 15.
Find the probability that a person selected at random will have an IQ score less than
115.
𝑥−𝜇 115−100
𝑧= =
𝜎 15
z = 1.0
𝑃 (𝑍 < 1.0) = 0.8413

2. Monthly utility bills in a certain city are normally distributed with a mean of $100 and
a standard deviation of $12. A utility bill is randomly selected. Find the probability
that it is between $80 and $115.
𝑥−𝜇 80−100 𝑥−𝜇 115−100
𝑧1 = = 𝑧2 = =
𝜎 12 𝜎 12
𝑧1 = −1.67 𝑧2 = 1.25

𝑃(−1.67 < 𝑍 < 1.25) = 𝑃(𝑍 < 1.25) − 𝑃(𝑍 < −1.67)
= 0.8944 − 0.0475
= 0.8469
3. On an examination the average grade was 74 and the standard deviation was 7. If 12%
of the class are given A’s, and the grades are curved to follow a normal distribution,
what is the lowest possible A and the highest possible B?

4. The quality grade-point averages of 300 college freshmen follow approximately a


normal distribution with a mean of 2.1 and a standard deviation of 0.8. How many of
these freshmen would you expect to have a score between 2.5 and 3.5 inclusive if the
point averages are computed to the nearest tenth?
5. In a departmental examination on Statistics taken by 105 students, the mean grade
was 64 and the standard deviation was 10. If the grades are approximately normally
distributed
a. What is the probability that in a randomly selected student, he/she would
get a score below 70?
b. About how many students got grades above 60?
c. What percentage of students got scores between 60 and 70?

Common questions

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First, calculate the z-scores for GPA values 2.5 and 3.5 using the given mean of 2.1 and standard deviation of 0.8. For 2.5: z = (2.5 - 2.1)/0.8 = 0.5; for 3.5: z = (3.5 - 2.1)/0.8 = 1.75. Use the standard normal distribution table to find cumulative probabilities: P(Z < 0.5) = 0.6915 and P(Z < 1.75) = 0.9599. Hence, the probability of a GPA between 2.5 and 3.5 is 0.9599 - 0.6915 = 0.2684. In a class of 300, the expected number of students scoring between 2.5 and 3.5 is 0.2684 * 300 ≈ 81 .

In a normal distribution, if 12% of the class receives A's, the cutoff score for an A corresponds to the top 12% on the distribution curve. Using a z-score table, the percentile rank corresponding to the 88th percentile (100% - 12%) gives a z-score of approximately 1.175. Plugging this z-score into the formula X = μ + zσ, we identify the cutoff score where μ is the mean, and σ is the standard deviation. This calculation determines the lowest score for an A. Similarly, the highest score for a B is just below this cutoff .

To find this probability, calculate the z-scores for $80 and $115. For $80: z = (80 - 100)/12 = -1.67. For $115: z = (115 - 100)/12 = 1.25. Use these z-scores to find respective cumulative probabilities in a standard normal distribution table: P(Z < 1.25) = 0.8944 and P(Z < -1.67) = 0.0475. The probability of a utility bill being between these amounts is the difference: 0.8944 - 0.0475 = 0.8469, or 84.69% .

The asymptotic nature of the normal distribution curve, meaning it approaches but never actually reaches the x-axis, implies that there are always probabilities (albeit very small) associated with extremely large or small values. This property affects tail probabilities by ensuring they are never zero, supporting the concept that extreme events, while rare, can still occur. Consequently, this is crucial in risk management, where events laying in the tails represent critical insights into possible rare events .

Compute the z-score for $50 using the formula z = (x - μ)/σ, where x is 50, μ is 100, and σ is 12. This yields z = (50 - 100)/12 = -4.17. Look up this z-score in a standard normal distribution table which gives an approximate cumulative probability near 0. Since tables often don't cover such extremes, the practical probability is exceedingly close to 1, indicating an almost negligible chance for utility bills over $50 .

Z-scores transform any normal distribution into a standard normal distribution by converting data points into a common scale where the mean is zero and the standard deviation is one. This transformation is accomplished using the formula z = (x - μ)/σ, where x is the data point, μ is the mean, and σ is the standard deviation . By employing z-scores, any value from a normal distribution can be contextualized to measure how many standard deviations it lies from the mean, aiding in comparison and probability determination across different datasets .

A normal distribution, or Gaussian distribution, is characterized by being symmetric around the mean, with the mean, median, and mode all equal. The curve is bell-shaped, and the total area under the curve is 1, indicating full probability. As the curve extends away from the mean, it approaches but never touches the x-axis, emphasizing that all data lies within its range but extreme values are rare . These characteristics affect probability calculations by ensuring that probabilities are evenly distributed around the mean, which is crucial when calculating areas under the curve representing probabilities or cumulative probabilities using z-scores .

To determine the z-score for an area to the left, locate the percentile (0.8461) in the standard normal distribution table. This corresponds directly to a z-score of approximately 1.02, as indicated by the table entry. By matching percentile ranks to z-scores, we identify the point which divides the lower 84.61% of the distribution from the upper 15.39% .

First, convert the score of 70 to a z-score using the formula z = (x - μ)/σ, where x is 70, μ is 64, and σ is 10. This gives z = (70 - 64)/10 = 0.6. Using a standard normal distribution table, a z-score of 0.6 corresponds to a cumulative probability of approximately 0.7257. Thus, the probability of a student scoring below 70 is 72.57% .

To calculate this probability, we first convert the IQ score of 115 to a z-score using the formula z = (x - μ)/σ, where x is 115, μ is the mean, 100, and σ is the standard deviation, 15. This gives z = (115 - 100)/15 = 1.0. Using a standard normal distribution table, a z-score of 1.0 corresponds to a cumulative probability of 0.8413. Thus, the probability that a randomly selected IQ score is less than 115 is 0.8413 or 84.13% .

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