What Is the Likelihood of Finding a Price Between $3

question 73

Multiple Choice

What is the likelihood of finding a price between $3.80 and $3.85 for a gallon of gasoline from a normally distributed population of gas prices? Assume μ = $3.78 and σ = $0.05.

• A)0.3413
• B)0.4641
• C)0.2638
• D)0.5746

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Definitions:

Projected Sales

An estimate of the amount of sales that a company expects to achieve in a future period.

Expected Cash Receipts

The anticipated amount of money a business expects to receive over a certain period, often from sales or services.

Budgeted Balance Sheet

A projection of a company's financial position at a future point in time, showing expected values for assets, liabilities, and equity.

Accounts Receivable

Money owed to a business by its customers for goods or services that have been delivered but not yet paid for.