Data for a particular subdivision near downtown Houston indicate that the average price per square foot for a home is $100 with a standard deviation of $5 (normally distributed).What is the probability that the average price per square foot for a home is less than $108?
A)0.152
B)0.097
C)0.848
D)0.945
E)None of the above

Question

Quizplus · Accepted Answer

To find the probability that the average price per square foot is less than $108, we calculate the z-score: z = (108 - 100) / 5 = 1.6. Using the standard normal distribution table, the probability corresponding to a z-score of 1.6 is approximately 0.945.

Data for a Particular Subdivision near Downtown Houston Indicate That