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g100num [7]
3 years ago
5

Suppose the mean income of firms in the industry for a year is 75 million dollars with a standard deviation of 17 million dollar

s. If incomes for the industry are distributed normally, what is the probability that a randomly selected firm will earn less than 110 million dollars? Round your answer to four decimal places.
Business
1 answer:
Readme [11.4K]3 years ago
4 0

Answer and Explanation:

Given:

μ = 75 million

SD = 17 million

Probability (x) raw data = 110 million

Computation:

= Probability (x) < 110 million

= Probability [(x-μ) / SD] < [(110 - 75) / 17]

[(x-μ) / SD] = Z

= Probability [z] < [(35) / 17]

= Probability [z] < [2.05882353]

Using z calculator:

P-value from Z-Table:  

Z score = 0.98024

Therefore, probability is 0.98024

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