SOLUTION: A real estate agent lets the selling price for homes of a particular size in a particular neighborhood be given by X. She then notes that X~N(175,15), where the units are in t

Algebra ->  Finance -> SOLUTION: A real estate agent lets the selling price for homes of a particular size in a particular neighborhood be given by X. She then notes that X~N(175,15), where the units are in t      Log On


   



Question 977723:
A real estate agent lets the selling price for homes of a particular size in a particular neighborhood be given by X. She then notes that X~N(175,15), where the units are in thousands of dollars.
Find the probability that a randomly selected home of this type will sell for between $165,000 and $180,000. That is, find P(165

Answer:

Answer by Fombitz(32388) About Me  (Show Source):
You can put this solution on YOUR website!
I'm assuming by N(175,15) you mean a normal distribution with a mean of 175 and a standard deviation of 15.
Find the two z scores.
z%5B1%5D=%28165-175%29%2F15=-2%2F3
z%5B2%5D=%28180-175%29%2F15=1%2F3
Then find the probability,
P=P%28z%5B2%5D%29-P%28z%5B1%5D%29
P=0.631-0.252
P=0.379