A Study of the Amount of Time It Takes a Mechanic

question 96

Multiple Choice

A study of the amount of time it takes a mechanic to rebuild the transmission for a 2005 Chevrolet Cavalier shows that the mean is 8.4 hours and the standard deviation is 1.8 hours. If 40 mechanics are randomly selected, find the probability that their mean rebuild time exceeds 7.7 hours.

• A) 0.9712
• B) 0.8531
• C) 0.9634
• D) 0.9931

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Definitions:

Gift Tax

A tax on the transfer of assets or money from one person to another without receiving something of equal value in return, in excess of annual and lifetime exemptions.

Section 1231

A tax provision that allows for the preferential tax treatment of gains and losses on the sale or exchange of business property and assets held for more than one year.

Depreciation

An accounting method used to allocate the cost of a tangible or physical asset over its useful life, reflecting wear and tear, deterioration, or obsolescence.

FMV

The Fair Market Value represents the price at which property would be sold in an open market scenario.