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Understanding Excel's Norm S Dist Function

Mar 10, 2025

Excel Norm S Dist Function and Finding Areas

Key Topics

  • Excel Norm S Dist Command

    • Used to find the area to the left of a given z-score, equivalent to finding probability.
  • Drawing Pictures

    • Important for visualizing problems.
    • Label the z-score; zero goes in the middle.

Finding Areas

  • Types of Areas

    • Area to the left: Probability that z is less than a certain value.
    • Area to the right: Probability that z is greater than a certain value.
  • Between Area

    • New focus: Finding the area between two z-scores.
    • Steps to Find Between Area:
      1. Draw the Picture
        • Label z-scores and the area you're interested in.
      2. Calculate Areas
        • Use Norm S Dist for each z-score to find area to the left.
      3. Subtract Areas
        • Subtract the smaller area (left of lower z-score) from the larger area (left of higher z-score) to find the between area.

Calculation Example

  • Finding the Area to the Left of 2.18
    • = Norm S Dist(2.18) results in 0.9854.
  • Finding the Area to the Left of 1.26
    • = Norm S Dist(1.26) results in 0.8962.
  • Between Area Calculation
    • Subtract: 0.9854 - 0.8962 = 0.0892.

Common Errors

  • Subtracting Z-scores
    • Incorrect to subtract z-scores directly to find between area.
    • Example: 2.18 - 1.26 results in a z-score of 0.92, irrelevant to finding probability.
    • Always subtract probability values, not z-scores.

Practical Application

  • Using Computers
    • Practice with Excel to calculate and visualize.
    • Draw and label correctly.

Notable Points

  • Decimal Precision
    • Many decimal values involved; ensure clarity.
    • Circle final answer for clarity.

Summary

  • Use Norm S Dist to find areas related to z-scores in Excel.
  • Subtract probabilities for between areas, not z-scores.
  • Visual aids and distributions are crucial in understanding the concepts.