Question

Suppose that the value of a stock varies each day from $11.82 to $15.17 with a uniform distribution. Find the third quartile, i.e., 75% of all days the stock is below what value?

Answer 1

Answer:

Third quartile (Q3) = $14.3325

Step-by-step explanation:

Given:

Stock varies = $11.82 to $15.17

Find:

Third quartile (Q3) ,(75%)

Computation:

[Q3 - 11.82] / [15.17 - 11.82] = 0.75

[Q3 - 11.82] / [3.35] = 0.75

[Q3 - 11.82] = 2.5125

Q3 = 2.5125 + 11.82

Q3 = $14.3325

Third quartile (Q3) = $14.3325