THE NEXT QUESTIONS ARE BASED ON THE FOLLOWING INFORMATION

question 23

Essay

THE NEXT QUESTIONS ARE BASED ON THE FOLLOWING INFORMATION:
The average checking account balance at a local bank is $1,742 with a standard deviation of $132.A random sample of 70 accounts is selected.
-The probability is 0.23 that the average balance for these accounts is greater than what amount?

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Definitions:

Weighted Average Flotation

An average calculation of flotation costs for new securities, weighted by the proportion each security contributes to the total amount issued.

Capital Structure

Capital structure describes the mix of a company's long-term debt, specific short-term debt, common equity, and preferred equity, which collectively finance the company's operations and growth.

Flotation Costs

Expenses incurred by a company in issuing new securities, including fees for underwriting, legal counsel, and registration.

Pre-tax Cost

The expense associated with an investment or action before the effects of taxes are taken into account.