Probability Distribution
Past 4, the normal gives 0.00006334 and the t gives 0.00357283. Same mean, same variance.
-
-
Cumulative Distribution Function (CDF)
A discrete CDF is a staircase whose step heights are the masses. A continuous one has no steps, which is P(X = x) = 0.
-
Predicting Percentiles
A calibrated continuous 90th percentile has 10% exceedance probability, not a guaranteed annual stockout count. Discrete demand can exceed it less often.