he monthly average amount of sales for employees at an athletic supply store is $328 with a standard deviation of $77. Assume the amounts of sales for employees at the athletic supply store are normally distributed. The owner of the athletic supply store wants to reward the sales-persons that have exceptionally high monthly amounts of sales. If those employees that have the highest 5% of sales amounts are given a reward, what is the cutoff amount of sales to earn the reward? (How much would the salesperson have to make in sales in order to receive the reward?)
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.
The monthly average amount of sales for employees at an athletic supply store is $328 with a standard deviation of $77. Assume the amounts of sales for employees at the athletic supply store are
The owner of the athletic supply store wants to reward the sales-persons that have exceptionally high monthly amounts of sales. If those employees that have the highest 5% of sales amounts are given a reward, what is the cutoff amount of sales to earn the reward? (How much would the salesperson have to make in sales in order to receive the reward?)
Show how you calculated your result here (type in what you typed on your calculator or computer, the
Calculation: _________
Now type in your final rounded answer, round your answer to two decimal places.
$ __________ in sales.
Step by step
Solved in 2 steps
