BACHELOR OF BUSINESS ADMINISTRATION

Detailed explanation-1: -Question: if the Z-score of an observation in a set of normally distributed numerical data is bigger than zero, it means that the observation is an outlier an error bigger than the standard deviation bigger than the mean.

Detailed explanation-2: -A z-score is measured in units of the standard deviation. The mean for the standard normal distribution is zero, and the standard deviation is one. The transformation z=x− z = x − produces the distribution Z   N(0, 1). The value x comes from a normal distribution with mean and standard deviation .

Detailed explanation-3: -The higher the Z-score, the further from the norm the data can be considered to be. In investing, when the Z-score is higher it indicates that the expected returns will be volatile, or are likely to be different from what is expected.

Detailed explanation-4: -Z-scores can be positive or negative. The sign tells you whether the observation is above or below the mean. For example, a z-score of +2 indicates that the data point falls two standard deviations above the mean, while a-2 signifies it is two standard deviations below the mean. A z-score of zero equals the mean.

Detailed explanation-5: -The normal curve, also called a bell-shaped curve, is represented in Figure 1. The area under the curve represents 100% (or 1.00) of the data (or population) and the mean score is 0.