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Normal Distribution

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The daily trading volumes (millions of shares) for stocks traded on the New York Stock Exchange for twelve days in a certain period are given below. See attachment.

Assume that the probability distribution of trading volumes is approximately normal.

1. Compute mean and standard deviation for daily trading volumes to use as estimates of the population mean and standard deviation.
2. What is the probability that on a particular day the trading volume will be less than 800 million shares?
3. What is the probability that on a particular day the trading volume will exceed 1 billion shares?
4. If the exchange wants to issue a press release on the top 5% of trading days, what volume will trigger a press release?

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The answers are in the attached Excel File. If you have any queries please let me know.

The daily trading volumes (millions of shares) for stocks traded on the New York Stock Exchange for twelve days in a certain period are given below.  See attachment.

917 983 1046 944 723 783 813 1057 766 836 992 973

Assume that the probability distribution of trading volumes is approximately normal.

The following Excel worksheet functions have been used in calculations
AVERAGE : To calculate mean
STDEV : To calculate standard deviation
NORMSDIST : To calculate normal distribution probability given z value
NORMSINV : To calculate z value given normal distribution probability

1.  Compute mean and standard deviation for daily trading volumes to use as estimates of the population mean and standard ...

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