If a Random Variable Follows a Normal Distribution, What Is

question 9

Multiple Choice

If a random variable follows a normal distribution, what is the probability that the random variable is larger than 1.96 standard deviations larger than the mean?

• A) 1.25%
• B) 2.50%
• C) 3.75%
• D) 5.00%

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Definitions:

Returned by Bank

Transactions or items that a bank cannot process and are sent back, such as bounced checks due to insufficient funds in the account.

Not Sufficient Funds

A term used by banks to indicate that a check cannot be honored because the account on which it was drawn does not have enough money.

NSF Check

A cheque that has been returned by the bank because it cannot be honored due to insufficient funds in the account.

Bank Statement

A summary issued by a bank detailing all transactions in an account over a specific period.