Question

What is the cost for the 3% highest domestic airfares? (rounded to nearest dollar

Answer 1

Given:

Mean – 385 per ticket

Standard Deviation - 110

P (Z > x ) = 0.03
Value of z to the cumulative probability of 0.03 from the normal distribution table is 1.88

P(x-u / (standard deviation) > x - 385/110) = 0.03

That is, (x - 385/110) = 1.88

Therefore, x = 1.88 * 110+385 = 591.91 or $592

Answer 2

P ( Z > x ) = 0.03Value of z to the cumulative probability of 0.03 from normal table is 1.88P( x-u/ (s.d) > x - 385/110) = 0.03That is, ( x - 385/110) = 1.88--> x = 1.88 * 110+385 = 591.91
Round off= $592