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Rama09 [41]
3 years ago
8

9. Stan’s Deli is situated inside a large industrial park. The weekday gross sales at Stan’s average $1,240, with a standard dev

iation of $180. Find the probability that the average over the next 40 weekdays will exceed $1,200. Please note the assumptions that are used in making the calculation.
Mathematics
1 answer:
mr Goodwill [35]3 years ago
7 0

Answer:

0.9792

Step-by-step explanation:

Data provided in the question:

Average gross sales = $1,240

Standard deviation = $180

sample size = 40

Now,

standard deviation of sample average

= \frac{\textup{Standard deviation}}{\sqrt{n}}

= \frac{180}{\sqrt{40}}

= 28.46

Now,

z value for 1200 = \frac{(1200-1240)}{28.46} = -1.4,

and,

p value for (z = -1.4) = 0.0808

therefore,

P(average < $1200) = 0.0808

Thus,

probability that the average over the next 40 weekdays will exceed $1,200

= 1 - 0.808

= 0.9792

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