Before a New Phone System Was Installed, the Amount a Company

question 131

Multiple Choice

Before a new phone system was installed, the amount a company spent on personal calls followed a normal distribution with an average of $900 per month and a standard deviation of $50 per
Month. Refer to such expenses as PCEʹs (personal call expenses) . Find the point in the distribution
Below which 2.5% of the PCEʹs fell.

• A)$802.00
• B)$22.50
• C)$877.50
• D)$998.00

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Definitions:

Departments

Departments refer to distinct segments within an organization, each with specific responsibilities and roles, meant to streamline operations and improve efficiency.

Expenses

Costs incurred by a business in the process of earning revenue.

Indirect Costs

Costs that are not directly traceable to a specific product or service but are necessary for the operation of a business, such as overhead expenses.

Apportion

To divide and allocate proportions or shares of a total amount among different entities based on a set criteria or formula.