For Any Normally Distributed Random Variable with Mean μ and Standard

question 44

Multiple Choice

For any normally distributed random variable with mean μ and standard deviation σ, the percent of the observations that fall between [μ - 2σ, μ + 2σ] is the closest to ________.

• A) 68%
• B) 68.26%
• C) 95%
• D) 99.73%

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Definitions:

Estimated Average Annual Income

An approximation of how much money an individual, business, or asset is expected to generate over a year.

Average Investment

A calculation used in finance to determine the average amount invested over a period, often used in evaluating the return on an investment.

Discount Period

The time frame within which a buyer can pay less than the full invoice amount as an incentive for early payment, reducing the sale price of goods sold.

Amount Invested

The total sum of funds or assets placed into investments such as stocks, bonds, or real estate, by an individual or entity.