How to Use the BETADIST Function in Excel

Today, we’ll delve into the BETADIST function, a robust statistical tool available in both Microsoft Excel and Google Sheets. This function computes the cumulative beta probability density function, an essential calculation in fields such as risk analysis and economics, where understanding distributions based on beta statistics is crucial.

Syntax

The syntax for the BETADIST function varies slightly between Excel and Google Sheets:

Excel:

BETADIST(x, alpha, beta, A, B)

• x: The variable at which the function is evaluated.
• alpha and beta: Parameters of the distribution that shape its behavior.
• A and B: Define the lower and upper bounds of the beta distribution, respectively.

Google Sheets:

BETADIST(x, alpha, beta, A, B, cumulative)

• x: The variable at which the function is evaluated.
• alpha and beta: Parameters that define the characteristics of the distribution.
• A and B: The minimum and maximum limits of the distribution.
• cumulative: A boolean value specifying the function’s output. A value of TRUE returns the cumulative distribution function; FALSE returns the probability density function.

Examples

Below, we’ll explore some practical applications of the BETADIST function in both Excel and Google Sheets:

Example 1

Calculate the cumulative beta probability density function using the following parameters:

In Excel:

=BETADIST(0.5, 2, 2, 0, 1)

This formula returns the cumulative beta probability density function at x=0.5 for the specified parameters.

In Google Sheets:

=BETADIST(0.5, 2, 2, 0, 1, TRUE)

The additional parameter TRUE specifies that the output should be the cumulative distribution function.

With a clear understanding of the syntax and practical examples, you can effectively employ the BETADIST function in Excel and Google Sheets for detailed statistical analysis and probability assessments.

More information: https://support.microsoft.com/en-us/office/betadist-function-49f1b9a9-a5da-470f-8077-5f1730b5fd47