Question

assume that the hourly cost to operate a commercial airplane follows the normal distribution with a mean of $3,403 per hour and a standard deviation of $398.what is the operating cost for the lowest 2% of the airplanes?

Answer 1

$2,611.9.

Explanation:

To find the operating cost for the lowest 2% of the airplanes, we need to find the corresponding z-score from the standard normal distribution using a z-table.

Using the formula:

z = (x - μ) / σ

where x is the cost we are interested in, μ is the mean cost, and σ is the standard deviation.

For the lowest 2% of airplanes, the z-score can be found by looking up the area to the left of z in the z-table. This area is 0.02.

Looking up 0.02 in the z-table gives a z-score of approximately -2.05.

So we have:

-2.05 = (x - 3403) / 398

Solving for x, we get:

x = -2.05 * 398 + 3403 = $2,611.9

Therefore, the operating cost for the lowest 2% of the airplanes is approximately $2,611.9.