A bank's loan officer rates applicants for credit. The ratings are normally distributed with a mean of 200 and a standard deviation of 50. If an applicant is randomly selected, find the probability that the rating is between 200 and 275. a. 0.0068 b. 0.5000 c. 0.4332 d. 0.9332
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Step 1
Given: Mean (μ) = 200 Standard Deviation (σ) = 50 Rating 1 = 200 Rating 2 = 275 Z-score formula: Z = (X - μ) / σ For Rating 1 (200): Z1 = (200 - 200) / 50 Z1 = 0 For Rating 2 (275): Z2 = (275 - 200) / 50 Z2 = 75 / 50 Z2 = 1.5 Show more…
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