The Price-Earnings Ratios of a Sample of Stocks Have a Mean

question 270

Essay

The price-earnings ratios of a sample of stocks have a mean value of 13.5 and a standard deviation of 2.If the ratios have a bell shaped distribution,what can we say about the proportion of ratios that fall between
a.11.5 and 15.5?
b.9.5 and 17.5?
c.7.5 and 19.5?

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Definitions:

Regulated Good

A product or service that is subject to governmental controls and restrictions.

Decrease Retailer Prices

The activity of reducing the cost at which goods or services are sold by retail outlets to the consumer market.

Vertical Contracts

Agreements between firms at different levels of the supply chain, such as between a manufacturer and a retailer, aimed at controlling the conditions of sale or establishing terms of collaboration.

Consumers

Individuals or organizations that use economic services or goods, playing a central role in economic systems as the end-users of products.