Answer:
![z = \frac{1325-820}{217}= 2.327](https://tex.z-dn.net/?f=%20z%20%3D%20%5Cfrac%7B1325-820%7D%7B217%7D%3D%202.327)
We need to take in count that 95% of the values in a normal distribution are between two deviations from the mean so then the usual values are between z=-2 and z =2.
And for this case we can conclude that if z >2 then we can conclude that this value would represent a potential outlier.
Step-by-step explanation:
We can define the variableof interest as X who represent the rent of students at Oxford, and for this case we knwo the following info for this variable
and
We want to find the standardized score for the rent of Johns of 1325
The z score formula is given by:
Replacing we got:
![z = \frac{1325-820}{217}= 2.327](https://tex.z-dn.net/?f=%20z%20%3D%20%5Cfrac%7B1325-820%7D%7B217%7D%3D%202.327)
For the other question about How high would the rent have to be to qualify as an outlier?.
We need to take in count that 95% of the values in a normal distribution are between two deviations from the mean so then the usual values are between z=-2 and z =2.
And for this case we can conclude that if z >2 then we can conclude that this value would represent a potential outlier.