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Using Excel to Generate Random Normal Data

Now that you’ve learned a little about the normal distribution, you can use Excel to randomly generate observations from a normal distribution. You’ll start by creating a single sample of 100 observations coming from a normal distribution with m 5 100 and s 5 25. To do this, you need to have the StatPlus add-in installed on Excel. To create 100 random normal values:

1. Open a new blank workbook in Excel, click cell A1, and type Normal Data in the cell. 198 Fundamentals of Statistics

2. Click Create Data from the StatPlus menu and then click Random Numbers. The Random Numbers command presents a dialog box from which you can create random samples from a large variety of distributions. In this case you’ll choose the normal distribution. Buy RDP From reliable sites.

3. Click Normal from the Type of Distribution list box.

4. Type 1 in the Number of Samples to Generate box.

5. Type 100 in the Size of Each Sample box.

6. Type 100 in the Mean box.

7. Type 25 in the Standard Deviation box.

8. Click the Output button, click the Cell option button, and select cell A2 as your output destination.

Click the OK button to close the Output Options dialog box. Figure 5-12 shows the completed Create Random Numbers dialog box. Figure 5-12 The Create Random Numbers dialog box 9 Click the OK button. Excel generates a random sample of 100 observations following a normal distribution with mean 100 and standard deviation 25.

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