What is the BINOM.DIST.RANGE Function?
The BINOM.DIST.RANGE function is categorized under Statistical functions. It will calculate the binomial distribution probability for the number of successes from a specified number of trials falling into a specified range.
In financial analysis, the function can be useful in finding out the probability of the three bestselling products from a range of products by a company.
The BINOM.DIST.RANGE function was introduced in MS Excel 2013 and hence is unavailable in earlier versions.
The BINOM.DIST.RANGE function uses the following arguments:
- Trials (required argument) – It is the number of independent trials. It must be greater than or equal to 0.
- Probability_s (required argument) – It is the probability of success in each trial. It should be greater than or equal to 0 and less than or equal to 1.
- Number_s (required argument) – It is the number of successes in trials. It should be greater than or equal to 0. Also, it should be less than or equal to trials.
- Number_s2 (optional argument) – When provided, it will return the probability that the number of successful trials will fall between number_s and number_s2. It should be greater than or equal to number_s and less than or equal to trials.
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How to use the BINOM.DIST.RANGE Function?
To understand the uses of the BINOM.DIST.RANGE function, let us consider an example:
Suppose we are given the following data:
The formula for calculating binomial distribution is shown below:
We get the result below:
Few notes about the BINOM.DIST.RANGE Function
- The function will truncate all numerical values to integer.
- #VALUE! error – Occurs when any of the arguments provided is non-numeric.
- #NUM! error – Occurs when:
- The given probability is less than zero or greater than 1.
- The given number_s is less than zero or greater than the trials argument.
- The given number_s2 is less than zero or greater than trials or less than number_s.
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