Exhibit 6-5

question 85

Multiple Choice

Exhibit 6-5.The mean travel time to work is 25.2 minutes (U.S.Census 2010) .Further,suppose that commute time follows a log-normal distribution with a standard deviation of 10 minutes. Refer to Exhibit 6-5.What is the probability a randomly selected U.S.worker has a commute time of less than 20 minutes?

• A)30.15%
• B)34.09%
• C)65.91%
• D)69.85%

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Definitions:

Earnings Before Interest And Taxes

This represents the company’s earnings before the deduction of interest and tax expenses.

Net New Borrowing

The difference between the total amount of new borrowing and the total amount of debt repaid over a specific period.

Marginal Tax Rates

The rate at which an additional dollar of taxable income would be taxed.

Interest Income

Income earned from the lending of funds or depositing funds in interest-bearing accounts.