Question

A home business has an average income of $900.00 per month with a standard deviation of $15.00. If the income in a given month is $930.00, what z-score corresponds to this value?

Answer 1

Z score is a statistical that corresponds to the standarization of the regular score to a normal dsitribution

The formula for Z score is Z = [X - mean ]./ (standar deviation)

Here X = 930.00; mean = 900.00; and standard deviation = 15.00

Then, Z = [930.00 - 900.00] / 15.00 = 30.00 / 15.00 = 2.00

Answer: 2.00