Enter "=A2/A1" in cell A3 to calculate the classical probability. Probabilities are described as a decimal number between 0 and 1. The example probabilities equal 0.5, 0.25 and 0.833, respectively.

In Microsoft Excel, using a scatter chart allows you to plot the data points against the probability of achieving each observed data point. Open Microsoft Excel and list your observed data points ...

In Excel, this can be achieved by using the NORM.INV function. This function requires the probability of an event occurring, mean, and standard deviation. For multiple calculations of VaR, repeat ...

Key Points NORMSINV is an Excel function used along with normal distributions. It allows you to conduct calculations faster ...

Learn what Value at Risk is, what it indicates about a portfolio, its pros and cons, and how to calculate the VaR of a portfolio using Microsoft Excel.