Page 193 - BA2 Integrated Workbook - Student 2017

Risk 2: probability

4.3 Normal distribution tables

Once we have calculated our ‘z score’ we can look this up on the normal distribution
table to find the area under the curve, which equates to the percentage chance
(probability) of that value occurring.

Note: the tables only show the positive values.

So if we have calculated a z score of 1.00. From the table the value is 0.3413.

This means that (0.3413 ÷ 1.0) or 34.13% is the area shown from 0 – 1 on the
diagram.

Practice using the normal distribution tables.

Z score Table entry

2.63 0.4957

3.14 0.4992

0.34 0.1331

Go over illustration 7 and 8

Try TYU 10

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