Question 333:

Asked on August 10, 2008

Tags: Z-Score

1

Answer:

No answer provided yet.Calculate the z-score as (375-300)/50 = 1.5. The probability associated with a z-score of 1.5 can be looked-up using the z-score to percentile calculator (select 1 sided since we only want the probability above this point) and you should get 93.3%. That's the probability, given 10 years or 120 months, we would expect her to see more than than this in 6.7% of the time or 1- (.933(120) ) = 8 out of 120 months.