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Coefficient of Variation and Areas Under Normal Curve

The document discusses several statistical concepts: - Coefficient of variation measures the standard deviation as a percentage of the mean. It provides an example calculation. - Z-scores measure the distance from the mean in units of standard deviation. It provides an example of interpreting individual z-scores. - The normal distribution is a bell-shaped curve characterized by the mean and standard deviation. About 68% and 95% of values fall within 1 and 2 standard deviations of the mean, respectively. - Areas under the normal curve can be used to calculate probabilities of values falling within certain ranges. Examples of calculations are provided.

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55 views5 pages

Coefficient of Variation and Areas Under Normal Curve

The document discusses several statistical concepts: - Coefficient of variation measures the standard deviation as a percentage of the mean. It provides an example calculation. - Z-scores measure the distance from the mean in units of standard deviation. It provides an example of interpreting individual z-scores. - The normal distribution is a bell-shaped curve characterized by the mean and standard deviation. About 68% and 95% of values fall within 1 and 2 standard deviations of the mean, respectively. - Areas under the normal curve can be used to calculate probabilities of values falling within certain ranges. Examples of calculations are provided.

Uploaded by

mochi
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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COEFFICIENT OF VARIATION

Coefficient of Variation is a measure of relative dispersion. It expresses the standard deviation as a


percentage of the mean.

For sample: CV = s (100%)


X

For population: CV = σ (100%)


μ

Where: CV = coefficient of variation


X = sample mean
σ = population standard deviation
μ = population mean

Example:
Find the coefficient of variation of the distribution of ages of 200 employees of MegaPacific Mall whose
mean age is 34.25 and the standard deviation is 7.58.

Given: X = 34.25 s = 7.58


Required: CV
Solution:
CV = s (100%)
X
CV = 7.58 (100%)
34.25
CV = 0.221313868 (100%)
CV = 22.13%

STANDARD SCORES OR Z – SCORES

A z-score measures the distance of an observed value from the mean per one standard

deviation. Formulas:

For sample: Z = X – X X = ZS + X
S

For Population: Z = X – μ X = Z σ + μ
σ

Where: X = sample mean


X = value of individual score
μ = population mean
S = sample standard deviation
σ = population standard deviation

Property of Z-score:
The sign of a Z-score indicates whether the raw score is above the mean or the raw score is below the
mean.
If the Z score is positive (+) then the raw score is above the mean.
If the Z score is negative (-) then the raw score is below the mean.

Example:
Mr. Chan’s final examination results in his three subjects are as follows:
Subject Grade Mean Standard Deviation Math 102 87 85 8
Eng 101 93 96 4
Fil 101 82 86 5
On which test did Mr.Chan perform best? Worst?
Solution:

For Math 102 ==🡺 Z = X – X = 87 – 85 = 0.25


S8

For Eng 101 ==🡺 Z = X – X = 93 – 96 = - 0.75


S4

For Fil 101 ==🡺 Z = X – X = 82 – 86 = - 0.8


S5

With these results, it can be concluded that Mr. Chan performed best in Math 102 while he
performed worst in Fil 101.

THE NORMAL DISTRIBUTION OR THE NORMAL CURVE

Characteristics
1. The curve has a single peak. It is unimodal.
2. It is bell-shaped or shape like a Mexican sombrero.
3. The mean (average) lies at the center of the distribution. The distribution is symmetrical about the
mean.
4. The two tails extend indefinitely in both directions coming closer and closer to the horizontal axis but
never touching it.

Normal curve can describe a large number of groups of data differentiated only by their mean and
their tendency to spread.

Any normal distribution is defined by two measures: the mean which locates the center and the
standard deviation which measures the spread around the center.

The standard deviation permits us to determine quite accurately where the values in a distribution are
located relative to their mean. With the use of the standard deviation we can measure with great precision
percentage of items that fall within specific ranges under a normal distribution.

The three mathematical facts about normal distribution:


1. About 68% of the values in the population fall within +1 and –1 standard deviation from the mean.
(actual value 68.27%)
2. About 95% of the values in the population fall within +2 and –2 standard deviations from the mean.
(actual value 95.45%)
3. About 99% of the values in the population fall within +3 and –3 standard deviations from the mean.
(actual value 99.74%)
AREAS UNDER THE NORMAL CURVE

1. Find the areas under the standard normal curve which lies:
a. between Z = -1.25 and Z = 0

b. to the right of Z = 0.85

c. between Z = 0 and Z = 1.5

d. to the right of Z = - 1.45

e. between Z = - 2.18 and Z = 1.68

f. between Z = 1.12 and Z = 2.06

2. A random variable has a normal distribution with a mean of 90 and a standard deviation of 4.5. What
are the probabilities that his random variable will take on value:
less than 97.2
a. greater than 86.4
b. between 91.2 and 96
Solutions:
APPLICATIONS OF THE NORMAL DISTRIBUTION

1. Records show that in a certain hospital the distribution of the length of stay of its patients is normal
with a mean of 11.5 days and a standard deviation of 2 days.
a. What percentage of the patients stayed 8 days?
b. What is the probability that a patient stays in the hospital between 9 and 12 days?

Exercises
1. Find the coefficient of variation of the distribution of the grades of 50 students whose mean is
85.68 and standard deviation is 7.4.

2. Given a mean of 9.25 and a standard deviation of 2.14. Convert the following real scores into
standard scores.
a. X = 10
b. X = 12
c. X = 6

3. Shown below are Peter’s scores, the mean, and the standard deviation of each three tests given to
500 applicants.
Test Peter’s Score Mean Standard Deviation
Personality 72.2 68.2 10.5
Abstract Reasoning 65 73 8.6
Aptitude 56.5 54.5 5.1
On which test Peter stand highest? Lowest?

4. Find the area under a normal curve.


a. between the mean and point z = 1.32 standard deviation

b. between z = -2.0 and z = -1.56

c. between z = -1.5 and z = 2.25

d. between z = 2.0 and z = 3.0

e. to the right of z = -1.28

f. to the left z = 1.54

5. The salaries of employees of a certain company in Cabanatuan City have a mean of Php 12,000
and a standard deviation of 2,000. What is the probability that an employee selected at random
will have a salary of
a. more than Php 12,000
b. between Php 12,000 and Php 13,500

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