A Testing Bureau Reports That the Mean for the Population

question 12

Multiple Choice

A testing bureau reports that the mean for the population of Graduate Record Exam (GRE) scores is 500 with a standard deviation of 90. The scores are normally distributed. The proportion of scores that lie between 460 and 600 is _________.

• A) 0.4394
• B) 0.5365
• C) 0.4406
• D) 0.4635

---

Definitions:

Tax Credit

An amount that taxpayers can subtract directly from taxes owed to the government.

Municipal Bonds

Bonds issued by local governments or their agencies, which are often used to fund public projects like schools, highways, and water systems, and may offer tax-exempt interest to investors.

Foreign Taxes Paid

This represents taxes paid to foreign governments on income earned outside of the taxpayer’s country of residence, often creditable against domestic taxes in the taxpayer’s home country to avoid double taxation.

Deferred Tax Liability

An accounting term that refers to a tax due in the future for income that has already been recognized in the financial statements.