LOGNORMDIST

• How to use LOGNORMDIST formula?
• Examples of using LOGNORMDIST formula
• LOGNORMDIST formula not working?
• Similar formulas to LOGNORMDIST

Usage

Use the LOGNORMDIST formula with the syntax shown below, it has 3 required parameters:

=LOGNORMDIST(x, mean, standard_deviation)

1. x (required):
   The value at which to evaluate the cumulative log-normal distribution.
2. mean (required):
   The mean of the natural logarithm of the distribution.
3. standard_deviation (required):
   The standard deviation of the natural logarithm of the distribution.

Examples

Estimating stock prices

Investors can use the LOGNORMDIST function to estimate the probability of a stock price reaching a certain level based on its historical volatility and mean return.

Risk management

Risk managers can use the LOGNORMDIST function to estimate the likelihood of a loss occurring based on the distribution of potential losses.

Insurance claims

Insurance companies can use the LOGNORMDIST function to estimate the probability of a claim exceeding a certain amount based on the distribution of past claims.

Common Mistakes

Incorrect number of arguments

One of the common mistakes when using LOGNORMDIST is providing an incorrect number of arguments. The formula requires three arguments: x, mean, and standard deviation. Double-check that you have provided all three arguments in the correct order.

Negative standard deviation

LOGNORMDIST cannot handle negative standard deviations. If you are seeing errors in your results, it may be because you have provided a negative standard deviation. Check your data and make sure that you have a valid standard deviation.

Invalid input value

Another common mistake is providing an invalid input value. The input value x must be greater than zero. Make sure that you have provided a valid input value.

Incorrect order of arguments

LOGNORMDIST requires that the input arguments be provided in a specific order: x, mean, and standard deviation. Make sure that you have provided the arguments in the correct order, or you may get unexpected results.

Incorrect use of function

LOGNORMDIST is a statistical function used to calculate the logarithmic normal distribution of a given set of data. Make sure you understand the purpose and correct use of this function before attempting to use it in your spreadsheet.

Related Formulas

The following functions are similar to LOGNORMDIST or are often used with it in a formula:

• NORMDIST

  The NORMDIST function in Google Sheets calculates the normal distribution for a specified value, mean, and standard deviation. It returns the probability of a value occurring within a specified range of a normal distribution. It is commonly used in statistics, finance, and science to analyze data and make predictions.

• NORMINV

  The NORMINV function returns the inverse of the normal cumulative distribution for a specified value, mean, and standard deviation. It is commonly used in statistics to find the value at which a given percentage of observations lie below that value.

• NORMSDIST

  The NORMSDIST function returns the area under a normal distribution curve to the left of a specified value. This function is commonly used in statistics to calculate probabilities.

• NORMSINV

  The NORMSINV function calculates the inverse of the standard normal cumulative distribution for a specified value of x. It is commonly used in statistical analysis to transform data from a normal distribution to a standard normal distribution with a mean of 0 and a standard deviation of 1.

Learn More

You can learn more about the LOGNORMDIST Google Sheets function on Google Support.