According to the National Association of Colleges and Employers, the 2015 average starting salary for new college graduates in health sciences was$51,541 . The average starting salary for new college graduates in business was $53,901 (National Association of Colleges and Employers website). Assume that starting salaries are normally distributed and that the standard deviation for starting salaries for new college graduates in health sciences is $11,000 . Assume that the standard deviation for starting salaries for new college graduates in business is $15,000. a. What is the probability that a new college graduate in business will earn a starting salary of at least $65,000(to 4 decimals)? b. What is the probability that a new college graduate in health sciences will earn a starting salary of at least $65,000 (to 4 decimals)? c. What is the probability that a new college graduate in health sciences will earn a starting salary less than $40,000 (to 4 decimals)? d. How much would a new college graduate in business have to earn in order to have a starting salary higher than 99% of all starting salaries of new college graduates in the health sciences (to the nearest whole number)?
Inverse Normal Distribution
The method used for finding the corresponding z-critical value in a normal distribution using the known probability is said to be an inverse normal distribution. The inverse normal distribution is a continuous probability distribution with a family of two parameters.
Mean, Median, Mode
It is a descriptive summary of a data set. It can be defined by using some of the measures. The central tendencies do not provide information regarding individual data from the dataset. However, they give a summary of the data set. The central tendency or measure of central tendency is a central or typical value for a probability distribution.
Z-Scores
A z-score is a unit of measurement used in statistics to describe the position of a raw score in terms of its distance from the mean, measured with reference to standard deviation from the mean. Z-scores are useful in statistics because they allow comparison between two scores that belong to different normal distributions.
According to the National Association of Colleges and Employers, the 2015 average starting salary for new college graduates in health sciences was$51,541 . The average starting salary for new college graduates in business was $53,901 (National Association of Colleges and Employers website). Assume that starting salaries are
a. What is the
b. What is the probability that a new college graduate in health sciences will earn a starting salary of at least $65,000 (to 4 decimals)?
c. What is the probability that a new college graduate in health sciences will earn a starting salary less than $40,000 (to 4 decimals)?
d. How much would a new college graduate in business have to earn in order to have a starting salary higher than 99% of all starting salaries of new college graduates in the health sciences (to the nearest whole number)?
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