Statistics

• Normal distribution
• Central Limit theorem
 The Normal Distribution
Normal distribution is perhaps the most commonly used continuous
probability distribution in the entire field of statistics.
It provides a good model for most continuous populations.
It has a bell-shaped curve also known as the normal curve.
For any normal population, it has the following characteristics:
 684.3% of the population falls within the interval
 About 95.4% of the population falls within the interval
 About 99.7% of the population falls within the interval
Where:
 Other properties of a normal curve include the following:
• The graph is symmetrical about the mean
• The total area (probability) under the normal curve is 1.
• The mean, median, mode are equal.

Tables for normal distribution are based on standard normal distribution whose
mean with a standard deviation .
Any normal random variable x can be transformed to a standard normal random
variable z using the formula:
Example 1:
• Let and . Verify that about 95.45% of the population falls within the interval .
Solution:
Equivalently, the probability that the populations will fall within

x =.
Using the z-table,
= 10 2(0.5)
= 10 - 2(0.5) 0.97725 – 0.02275
=9 = 0.9545 or 95.45%

= 10 + 2(0.5)
= 11
9 < x < 11
Example 2:
Suppose the heights of men in a country is normally distributed with a mean of 70
inches and a standard deviation of 3 inches. What percentage of men have height
between 61 inches and 79 inches?
Solution:
= 61
= 79

Using the z-table in the Appendix,

0.99865 – 0.00135
= .9973 or 99.73%
Example 3:
A popular burger chain sells a particular soda brand using a machine that discharges an
average of 500 milliliters (ml) per cup. If the amount of drink is normally distributed
with a standard deviation of 35 ml, what fraction of the cups will contain more than 550
ml?
Solution: Using the z-table, let’s find the
area of z = 1.43.
= P(x > 550)
= P(z > 1.43)
= 0.92364
Therefore, the number of cups that will contain more than 550 ml is,
1 – P(x<550) = 1 – P(z<1.43)
= 1 – 0.92364
= 0.07636 or 7.64%
 Central limit theorem
Is one of the most important theorems in inferential statistics which states that
even if the population is not normally distributed, the sample mean tends to
become normal as the sample size gets bigger (n≥30).
Thus, the standard normal distribution is given by,

Where:
=sample mean
s = is called the standard error of mean.
=population mean
 If the samples are randomly selected, the sample means are somewhat different from the population
mean.
 These differences are caused by a sampling error which is equivalent to the quantity,
Example 1:
A manufacturing firm produces LED lamps with a mean lifetime of 900 hours and a standard deviation
of 55 hours. Find the probability that a random sample of 100 lamps will last on the average of more
than 915 hours.
Solution:
Corresponding to

Thus,
= P(> 915) = P(z > 2.73)
z = 2.73 = 1 – P(z < 2.73)
= 1 – 0.99683
= 0.00317 or 0.32%
 Example 2:
A manufacturing firm produces LED lamps with a mean lifetime of 900 hours and a
standard deviation of 55 hours. Find the probability that a random sample of 100 lamps
will last on the average of between 895 and 905 hours.
Solution:
Corresponding to

Hence,
=
= P( 905) = P(0.91<z < 0.91)
= -0.91 = 0.91 = P(z < 0.91) – P(z < -0.91)
= 0.81859 – 0.18141
= 0.63719 or 63.72%
 Example 3:
A certain group of welfare recipients receive SNAP benefits of Php110 per
week with a standard deviation of Php20. If a random sample of 25 people is take,
what is the probability that their mean benefit will be greater than Php120 per
week?
Solution:
Corresponding to

Hence,
= P( 120) = P(z > 2.5)
= 2.5 = 1 – P(z < 2.5)
= 1 – 0.99379
= 0.00621 or 0.62%
THANK
YOU!