Two Competitive Brothers, Who Work in Two Different Industries, Were

question 25

Multiple Choice

Two competitive brothers, who work in two different industries, were comparing their salaries.
Because there is a difference of 4 years in their respective work experience, they decided to
Compare, not their actual salaries, but to compare their salaries against their company averages to
See who is doing better. The following gives the brothers salaries, companies mean, and standard
Deviation for each company.
What is the z-score of Tom's salary?

• A) -1.29
• B) 1.29
• C) -1.89
• D) 1.89

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Definitions:

Weighted-Average Method

A cost accounting method that calculates inventory and the cost of goods sold based on the average cost of all similar items in inventory.

First-In-First-Out (FIFO)

An inventory valuation method where the first items produced or acquired are the first to be sold or used, reflecting the chronological flow of goods.

Weighted-Average Method

An inventory costing method that assigns a weighted average cost to each unit in inventory, used in both periodic and perpetual inventory systems.

Cost Control

The practice of managing and reducing business expenses through efficient operations and spending.