Suppose the dealer incentive per vehicle for Honda's Acura brand in 2012 is thought to be bell-shaped and symmetrical with a mean of $2,500 and a standard deviation of $300.Based on this information,what interval of dealer incentives would we expect approximately 99.7% of vehicles to fall within?
A) $2,200 to $2,800
B) $1,900 to $3,100
C) $1,600 to $3,400
D) $1,300 to $3,700

Question

Quizplus · Accepted Answer

According to the empirical rule (68-95-99.7 rule), approximately 99.7% of data in a normal distribution falls within three standard deviations from the mean. Here, the mean is $2,500 and the standard deviation is $300. Therefore, the interval is $2,500 ± 3($300) = $1,600 to $3,400.

Suppose the Dealer Incentive Per Vehicle for Honda's Acura Brand