Continuous Probability Distribution: Brandon

1. Uniform Distributions:

Example: A bus arrives at a bus stop daily between 11:25 to 11:35 am. There is an equal probability of reaching between each minute within those 10 minutes.

- A Coin flip has only 2 outcomes. no more than 2 outcomes can be there.

- A single dice can have maximum 6 outcomes.

DISCRETE PROB. Distribution

CONTINUOUS PROB. Distribution

Problem:

Z Distribution or Normal Distribution is where MEAN = 0 and Standard Deviation = 1

3. To Z or to T ?:

4. Daily Stock return analysis:

5. Is my Data Normal?:

Always look at data Graphically first.

SOURCE: Brandon Foltz