1. Refer to the Century National Bank data. Is it reasonable that the distributi

Question

1. Refer to the Century National Bank data. Is it reasonable that the distribution of checking account balances approximates a normal probability distribution? Compare the actual distribution with the theoretical distribution. Cite some specific example and comment on your findings.

2. Divide the account balances into three groups, of about 20 each, with the smallest third of the balances in the first group, the middle third in the second group, and those with the largest balances in the third group. Next develop a table that shows the number in each of the categories of the account balances by branch. Does it appear that acount balances are related to the branch? Cite some examples and comment on your findings.

Balance ATM Services Debit Interest City 1756 13 4 0 1 2 748 9 2 1 0 1 1501 10 1 0 0 1 1831 10 4 0 1 3 1622 14 6 0 1 4 1886 17 3 0 1 1 740 6 3 0 0 3 1593 10 8 1 0 1 1169 6 4 0 0 4 2125 18 6 0 0 2 1554 12 6 1 0 3 1474 12 7 1 0 1 1913 6 5 0 0 1 1218 10 3 1 0 1 1006 12 4 0 0 1 2215 20 3 1 0 4 137 7 2 0 0 3 167 5 4 0 0 4 343 7 2 0 0 1 2557 20 7 1 0 4 2276 15 4 1 0 3 1494 11 2 0 1 1 2144 17 3 0 0 3 1995 10 7 0 0 2 1053 8 4 1 0 3 1526 8 4 0 1 2 1120 8 6 1 0 3 1838 7 5 1 1 3 1746 11 2 0 0 2 1616 10 4 1 1 2 1958 6 2 1 0 2 634 2 7 1 0 4 580 4 1 0 0 1 1320 4 5 1 0 1 1675 6 7 1 0 2 789 8 4 0 0 4 1735 12 7 0 1 3 1784 11 5 0 0 1 1326 16 8 0 0 3 2051 14 4 1 0 4 1044 7 5 1 0 1 1885 10 6 1 1 2 1790 11 4 0 1 3 765 4 3 0 0 4 1645 6 9 0 1 4 32 2 0 0 0 3 1266 11 7 0 0 4 890 7 1 0 1 1 2204 14 5 0 0 2 2409 16 8 0 0 2 1338 14 4 1 0 2 2076 12 5 1 0 2 1708 13 3 1 0 1 2138 18 5 0 1 4 2375 12 4 0 0 2 1455 9 5 1 1 3 1487 8 4 1 0 4 1125 6 4 1 0 2 1989 12 3 0 1 2 2156 14 5 1 0 2

Explanation / Answer

From the Excel,we compute all descriptive statistics such as mean mode median standard deviation etc...of every variable is given by

First we enter all the given variable values in excel sheet after that just go to Data->Data Analysis ->click on descreptive Statistics then we enter input rage of data then click on ok butteon then we can get the descriptive data,that is given by following individual Variables.

ATM

and the Histigram of the balance variable is given by

Simillarly we can get the histogram of the all other varibles.

But we observe that the above data,Compare the actual distribution with the theoretical distribution is given by

-------------------------------------------- x -------------------

Balance Mean 1499.867 Standard Error 77.06009 Median 1604.5 Mode 0 Standard Deviation 596.9049 Sample Variance 356295.5 Kurtosis -0.14073 Skewness -0.6164 Range 2525 Minimum 32 Maximum 2557 Sum 89992 Count 60 Largest(1) 2557 Smallest(1) 32 Confidence Level(95.0%) 154.1969

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