Question

The value of homes sold in Hampton VA are normally distributed with a mean of $200,000 and a standard deviation of $10,000. If 1216 houses were sold in 2012 what percentage of houses sold fall between $190,000 and 230,000?

Answer 1

Answer:

84%

Step-by-step explanation:

What we must do is calculate the z value for each value and thus find what percentage each represents and the subtraction would be the percentage between those two values.

We have that z is equal to:

z = (x - m) / (sd)

x is the value to evaluate, m the mean, sd the standard deviation

So for 190000 we have:

z = (190000 - 200000) / (10000)

z = -1

and this value represents 0.1587

for 230000 we have:

z = (230000 - 200000) / (10000)

z = 3

and this value represents 0.9987

we subtract:

0.9987 - 0.1587 = 0.84

Which means that it represents 84% of the houses