![]() ![]() If the kurtosis is more than three, then the data curve is heightened with fatter tails. If the kurtosis is 3, the probability data is neither too peaked nor too thin at tails. Negative skewness means skewness is less than zero. Similarly, for negative skewness, the left tail will be longer than the right tail. If the normal distribution is uneven with a skewness greater than zero or positive skewness, then its right tail will be more prolonged than the left. ![]() If skewness is 0, the data is perfectly symmetrical. Nearly 99.7% of all observations fall within +/- three standard deviations (σ).About 95% of all observations fall within +/- two standard deviations (σ).Approximately 68% of all observations fall within +/- one standard deviation(σ).The tails of the bell curve extend on both sides of the chart (+/-) without limits. The possible outcomes of the function are given in terms of whole real numbers lying between -∞ to +∞. #STANDARD NORMAL TABLE LEFT TAIL HOW TO#You are free to use this image on your website, templates etc, Please provide us with an attribution link How to Provide Attribution? Article Link to be Hyperlinked The following figure shows that the statistical probability function is a bell-shaped curve that follows the empirical rule: This probability method plays a crucial role in asset return calculation and risk management strategy decisions. It has two key parameters: the mean (µ) and the standard deviation (σ). The mean (µ) and the standard deviation (σ).Ī normal distribution resembles an asymmetric arrangement of most of the values around the mean, such that the curve so formed looks like a bell.
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