The starting salaries of individuals with an MBA degree are normally distributed with a mean of $40,000 and a standard deviation of $5,000. What percentage of MBA's will have starting salaries of $34,000 to $46,000?
A) 38.49%
B) 38.59%
C) 50%
D) 76.98%

Question

Quizplus · Accepted Answer

To find the percentage of MBA's with starting salaries between $34,000 and $46,000, we calculate the z-scores for both salary limits and then find the percentage of values that fall between these z-scores in a normal distribution. The z-score formula is $z = \frac{X - \mu}{\sigma}$, where $X$ is the value, $\mu$ is the mean, and $\sigma$ is the standard deviation.For $34,000: $z = \frac{34,000 - 40,000}{5,000} = -1.2$For $46,000: $z = \frac{46,000 - 40,000}{5,000} = 1.2$Looking up these z-scores in a standard normal distribution table or using a calculator, we find that the area between $z = -1.2$ and $z = 1.2$ is approximately 76.98%. This represents the percentage of MBA's with starting salaries between $34,000 and $46,000.

The Starting Salaries of Individuals with an MBA Degree Are