Professors at a Local University Earn an Average Salary of $80,000

question 142

Multiple Choice

Professors at a local university earn an average salary of $80,000 with a standard deviation of $6,000. The salary distribution is approximately bell-shaped. What can be said about the percentage of salaries that are less than $68,000 or more than $92,000?

• A) It is about 5%.
• B) It is about 32%.
• C) It is about 68%.
• D) It is about 95%.

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Definitions:

Constant-dollar GDP

Gross domestic product figures that have been adjusted for inflation to reflect the real value of goods and services produced in a country.

Underground Economy

Economic transactions that occur outside of government regulation or taxation, including illegal activities and unreported income from legal activities.

Real GDP

Real Gross Domestic Product, accounting for the effects of inflation, calculating the total value of all goods and services generated by an economy in actual terms.

Stocks and Bonds

Are financial instruments where stocks represent ownership in a company and bonds are debt securities issued by entities to finance operations or projects.