If a store runs out of advertised material during a Boxing Day sale, customers become upset. From past experience, a record store finds that the mean number of albums sold in a Boxing Day sale is 845, the variance is 225, and that a histogram of the albums sold appears roughly normal. The manager is willing to accept a 2.5% chance that an album will be sold out. About how many albums should the manager order for an upcoming sale? (a) 1295 (b) 875 (c) 1070 (d) 935 (e) 845
Inverse Normal Distribution
The method used for finding the corresponding z-critical value in a normal distribution using the known probability is said to be an inverse normal distribution. The inverse normal distribution is a continuous probability distribution with a family of two parameters.
Mean, Median, Mode
It is a descriptive summary of a data set. It can be defined by using some of the measures. The central tendencies do not provide information regarding individual data from the dataset. However, they give a summary of the data set. The central tendency or measure of central tendency is a central or typical value for a probability distribution.
Z-Scores
A z-score is a unit of measurement used in statistics to describe the position of a raw score in terms of its distance from the mean, measured with reference to standard deviation from the mean. Z-scores are useful in statistics because they allow comparison between two scores that belong to different normal distributions.
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