1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Alja [10]
2 years ago
9

Risk taking is an important part of investing. In order to make suitable investment decisions on behalf of their customers, port

folio managers give a questionnaire to new customers to measure their desire to take financial risks. The scores on the questionnaire are approximately normally distributed with a mean of 49.5 and a standard deviation of 15. The customers with scores in the bottom 10% are described as "risk averse." What is the questionnaire score that separates customers who are considered risk averse from those who are not? Carry your intermediate computations to at least four decimal places. Round your answer to one decimal place.
Mathematics
1 answer:
GrogVix [38]2 years ago
7 0

Answer:

a=49.5 -1.28*15=30.3

So the value of height that separates the bottom 10% of data from the top 90% is 30.3.  

If the score is lower than 30.3 we consider this score as risk averse

Step-by-step explanation:

Previous concepts

Normal distribution, is a "probability distribution that is symmetric about the mean, showing that data near the mean are more frequent in occurrence than data far from the mean".

The Z-score is "a numerical measurement used in statistics of a value's relationship to the mean (average) of a group of values, measured in terms of standard deviations from the mean".  

Solution to the problem

Let X the random variable that represent the scores of a population, and for this case we know the distribution for X is given by:

X \sim N(49.5,15)  

Where \mu=49.5 and \sigma=15

We are interested in the bottom 10% of the data.

For this part we want to find a value a, such that we satisfy this condition:

P(X>a)=0.9   (a)

P(X   (b)

Both conditions are equivalent on this case. We can use the z score again in order to find the value a.  

As we can see on the figure attached the z value that satisfy the condition with 0.1 of the area on the left and 0.9 of the area on the right it's z=-1.28. On this case P(Z<-1.28)=0.1 and P(z>-1.28)=0.9

If we use condition (b) from previous we have this:

P(X  

P(z

But we know which value of z satisfy the previous equation so then we can do this:

z=-1.28

And if we solve for a we got

a=49.5 -1.28*15=30.3

So the value of height that separates the bottom 10% of data from the top 90% is 30.3.  

If the score is lower than 30.3 we consider this score as risk averse

You might be interested in
Javier participated in a local hot dog-eating contest. The graph below shows the number of hot dogs he ate. What is Javier's ave
Elina [12.6K]
D, 1 minute 7 hotdogs are aten
8 0
2 years ago
Read 2 more answers
Quenstions below/screenshot
Llana [10]

Answer:

Question 2: Radios remaining is the dependent variables and the hours are the Independent variables

5 0
2 years ago
Maya drove to the mountains last weekend. There was heavy traffic on the way there, and the trip took 12 hours. When Maya drove
Roman55 [17]

Answer:

480 miles.

Step-by-step explanation:

Let x represent the distance between Maria's house and mountains ans r represent Maria's rate for going trip.

We have been given that there was heavy traffic on the way there, and the trip took 12 hours.

\text{Distance}=\text{Rate}\times \text{Time}

x=12r

We are also told that hen Maya drove home, there was no traffic and the trip only took 8 hours. Maria's average rate was 20 miles per hour faster on the trip home.

So Maria's speed while returning back would be r+20.

x=8(r+20)

Upon equating both distances, we will get:

12r=8(r+20)

12r=8r+160

12r-8r=8r-8r+160

4r=160

r=\frac{160}{4}

r=40

Upon substituting r=40 in equation x=12r, we will get:

x=12r\\\\x=12(40)\\\\x=480

Therefore, Maya live 480 miles away from the mountains.

7 0
3 years ago
A group of students is collecting books to add to their
pentagon [3]

Answer:(2,23) & (7,48)

Step-by-step explanation:

6 0
3 years ago
Read 2 more answers
I've tried everywhere to get this answerrrrr ill give brainliest for the correct answer mate!!
kodGreya [7K]

Answer:

What is the question?!?!?

7 0
2 years ago
Other questions:
  • Estimate the answer to 832.21 + 23.81 by first rounding each number to the nearest tenth.
    8·2 answers
  • What is the average per day?
    14·2 answers
  • F(-7) if f(x) = 8x + 15
    10·2 answers
  • Help me with this question Pleaseee
    8·1 answer
  • Help please thank you
    9·2 answers
  • Solve the equation: 3x + 5 = 17<br><br> Can you please help me?
    14·1 answer
  • Evacuate 8+ W/4 when W equals 16
    5·1 answer
  • There are 21 students in an MA 206 class at FCC. How many ways are there to select 5 students for a group project
    5·1 answer
  • Ocuocktxjrxutxjxttuxudutx
    9·1 answer
  • Which ordered pair is a solution to the system of equalities y&lt;3x y&lt;5
    13·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!