Lecture Business statistics in practice (7/e): Chapter 6 - Bowerman, O'Connell, Murphree

Chapter 6 - Continuous random variables. After mastering the material in this chapter, you will be able to: Define a continuous probability distribution and explain how it is used, use the uniform distribution to compute probabilities, describe the properties of the normal distribution and use a cumulative normal table, use the normal distribution to compute probabilities,. | Chapter 6 Continuous Random Variables Copyright © 2014 by The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin Continuous Random Variables Continuous Probability Distributions The Uniform Distribution The Normal Probability Distribution Approximating the Binomial Distribution by Using the Normal Distribution (Optional) The Exponential Distribution (Optional) The Normal Probability Plot (Optional) 6- Continuous Probability Distributions A continuous random variable may assume any numerical value in one or more intervals For example, time spent waiting in line Use a continuous probability distribution to assign probabilities to intervals of values The curve f(x) is the continuous probability distribution of the random variable x if the probability that x will be in a specified interval of numbers is the area under the curve f(x) corresponding to the interval LO6-1: Define a continuous probability distribution and explain how it . | Chapter 6 Continuous Random Variables Copyright © 2014 by The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin Continuous Random Variables Continuous Probability Distributions The Uniform Distribution The Normal Probability Distribution Approximating the Binomial Distribution by Using the Normal Distribution (Optional) The Exponential Distribution (Optional) The Normal Probability Plot (Optional) 6- Continuous Probability Distributions A continuous random variable may assume any numerical value in one or more intervals For example, time spent waiting in line Use a continuous probability distribution to assign probabilities to intervals of values The curve f(x) is the continuous probability distribution of the random variable x if the probability that x will be in a specified interval of numbers is the area under the curve f(x) corresponding to the interval LO6-1: Define a continuous probability distribution and explain how it is used. 6- Properties of Continuous Probability Distributions Properties of f(x): f(x) is a continuous function such that f(x) ≥ 0 for all x The total area under the f(x) curve is equal to 1 Essential point: An area under a continuous probability distribution is a probability LO6-1 6- The Uniform Distribution If c and d are numbers on the real line (c 6- The Normal Probability Distribution The normal probability distribution is defined by the equation for all values x on the real number line σ is the mean and σ is the standard deviation π = and e = is the base of natural logarithms LO6-3: Describe the properties of the normal distribution and use a cumulative normal table. 6- .

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