Question

The distribution of household incomes in a small town is strongly skewed to the right. The mean income is $42,000 and the standard deviation is $24,000. The Ames family’s household income is $60,000. The z-score for the Ames family’s income is

Answer 1

0.75

Explanation:

Given :

mean = 42000

Standard deviation = 24000

score, x = 60000

The Zscore :

Zscore = (score - mean) / standard deviation

(60000 - 42000) / 24000

18000 / 24000

= 0.75