CT3 Normal approximation

Discussion in 'CT3' started by Bharti Singla, Sep 2, 2016.

  1. Bharti Singla

    Bharti Singla Senior Member

    Hii all
    In chapter 8, page 13 - Here is a summary of Normal approximation formulae. In case of Binomial, np and nq both should be greater than 5 for using normal approximation but how large should be the lembda, alpha and k in other distributions??
    Thanks in advance for prompt rply.
     
  2. suraj

    suraj Member

    For Poisson dist., it's given on page 8 that lambda should be greater than 5. For other distributions, you don't need to worry about how large the parameter should be for normal approximation, because if the question says use approximation, you've to use it anyway!

    Lookup on the internet for other distributions if you're really curious!

    For Gamma however it's best to use the chi-square result if you can because that's exact result, unless the question says use approximation.
     
  3. Bharti Singla

    Bharti Singla Senior Member

Share This Page