The weekly incomes of a large group of executives are normally distributed with a mean of $2,000 and a standard deviation of $100. What is the z-score for an income of $2,100

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Answer:

The z-score for an income of $2,100 is 1.

Step-by-step explanation:

If X [tex]\sim[/tex] N (µ, σ²), then  [tex]Z=\frac{x-\mu}{\sigma}[/tex], is a standard normal variate with mean, E (Z) = 0 and Var (Z) = 1. That is, Z [tex]\sim[/tex] N (0, 1).

The distribution of these z-variate is known as the standard normal distribution.

Given:

µ = $2,000

σ = $100

x = $2,100

Compute the z-score for the raw score x = 2100 as follows:

[tex]Z=\frac{x-\mu}{\sigma}=\frac{2100-2000}{100}=\frac{100}{100}=1[/tex]

Thus, the z-score for an income of $2,100 is 1.

For a normal distribution, the z-score for an income of $2,100 is 1

The z score is used to determine by how many standard deviations the raw score is above or below the mean. The z score is given by:

[tex]z=\frac{x-\mu}{\sigma} \\\\where\ x=raw\ score, \mu=mean,\sigma=standard \ deviation[/tex]

Given that:

μ = $2000, σ = $100. For x = $2100:

[tex]z=\frac{x-\mu}{\sigma} \\\\z=\frac{2100-200}{100} \\\\z=1[/tex]

For a normal distribution, the z-score for an income of $2,100 is 1

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