Provide an Appropriate Response

question 141

Essay

Provide an appropriate response.
-SAT verbal scores are normally distributed with a mean of 430 and a standard deviation of 120 (based on data from the College Board ATP). (a)If a single student is randomly selected, find the probability that the sample mean is above 500. (b)If a sample of 35 students are selected randomly, find the probability that the sample mean is above 500. These two problems appear to be very similar. Which problem requires the application of the Central Limit theorem, and in what way does the solution process differ between the two problems?

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Definitions:

Direct Labor

Direct labor costs are the wages and benefits paid to employees who are directly involved in producing goods or providing services.

Standard Labor Cost

The predetermined cost of the labor necessary to produce a unit of output, based on expected productivity rates.

Produced

Refers to items that have been completed and are ready for sale or distribution, typically finished goods in a manufacturing context.

Total Cost

The complete cost of producing or acquiring goods or services, including variable and fixed costs.