The annual profits that companies A and B earn follow a normal distribution bivariate. Company A's...

The annual profits that companies A and B earn follow a normal distribution bivariate. Company A's annual profit averages 2000 and standard deviation 1000. Company B has an annual profit with an average of 3000 and a standard deviation of 500. The correlation coefficient between those annual profits is 0.80. Calculate the probability that company B’s annual profit will be lower than 3900, considering that the annual profit of company A is 2300.

Expert Solution

Please upvote.... any doubt please comment

orchestra answered 2 years ago

Assume the annual “profits” earned by mutual funds have a normal distribution with a mean of...

Assume the annual “profits” earned by mutual funds have a normal distribution with a mean of 8.6% and standard deviation 5.2%. A. What is the probability a randomly selected mutual fund will have earned a positive profit? B. What percent of mutual funds earned a profit between 2% and 18%? C. The top 4% of mutual funds receive a AAA performance rating. What level of profit is needed to earn a AAA rating?

If government regulators guarantee a natural monopolist that it will earn normal profits, then the monopolist...

If government regulators guarantee a natural monopolist that it will earn normal profits, then the monopolist will a) achieve resource-allocative efficiency. b) charge a price above average total cost. c )produce a quantity of output at which marginal revenue equals price. d) none of the above

SouthCo tracks their daily profits and has found that the distribution of profits is approximately normal...

SouthCo tracks their daily profits and has found that the distribution of profits is approximately normal with a mean of $20,400.00 and a standard deviation of about $1,000.00. Using this information, answer the following questions. For full marks your answer should be accurate to at least three decimal places. Compute the probability that tomorrow's profit will be a) less than $20,120.00 b) less than $18,010.00 or greater than $19,550.00 c) between $17,990.00 and $19,030.00 d) less than $18,880.00 or greater...

JenStar tracks their daily profits and has found that the distribution of profits is approximately normal...

JenStar tracks their daily profits and has found that the distribution of profits is approximately normal with a mean of $16,900.00 and a standard deviation of about $650.00. Using this information, answer the following questions. For full marks your answer should be accurate to at least three decimal places. Compute the probability that tomorrow's profit will be a) between $18,050.50 and $18,603.00 b) less than $17,920.50 or greater than $18,271.50 c) greater than $17,062.50 d) less than $16,835.00 or greater...

Assume that the population of all sister-brother heights has a bivariate normal distribution and that the...

Assume that the population of all sister-brother heights has a bivariate normal distribution and that the data below were sampled from this distribution. Sister height (x) 69 64 65 63 65 62 65 64 66 59 62 Brother height (y) 71 68 66 67 70 71 70 73 72 65 66 Heights of n=11 pairs of siblings (a) Consider the population of all sister-brother heights. Estimate the proportion of all brothers who are at least 5′ 10′′. (b) Suppose that...

There are two companies, A and B, which have facilities to produce the same products. A's...

There are two companies, A and B, which have facilities to produce the same products. A's operating income is 15% and B's operating income is 25%. In general, company B can be considered a profitable company with higher internal efficiency. But if actual B is not better at internal competencies, explain how the above operating profit could have been achieved. (Hint: B may have been using the equipment for a longer period of time.)

Consider a bivariate normal distribution with ?1 = 10, ?2 = 15, ?11 = 2, ?22...

Consider a bivariate normal distribution with ?1 = 10, ?2 = 15, ?11 = 2, ?22 = 3, ?12 = −0.75. Write out the bivariate normal density, ? (?, ?). Round your answers to 3 significant digits I need R code for this question, Thanks

Suppose the random variables X and Y form a bivariate normal distribution. You are given that...

Suppose the random variables X and Y form a bivariate normal distribution. You are given that E[X] = 3, E[Y ] = −2, σX = 4, and σY = 3. Find the probability that X and Y are within 3 of each other under the following additional assumptions: (a) Corr(X, Y ) = 0 (b) Corr(X, Y ) = −0.6

The annual production of a manufacturing company that produces generators follows a normal distribution with a...

The annual production of a manufacturing company that produces generators follows a normal distribution with a mean µ=1200 and standard deviation σ=100. 1) The shading area for the probability between 1100 and 1300 units is? 2) The probability of producing between 1100 and 1350 units is ? 3) The probability of producing less than 1200 units is? 4) The probability of producing between 1200 and 1350 units is . 5) A student intends to measure the boiling temperature of a...

The distribution of weights for an industrial part appears to follow a normal distribution. You randomly...

The distribution of weights for an industrial part appears to follow a normal distribution. You randomly selected 21 parts from a large batch of those parts, and determined the sample standard deviation = 4 g. If you want to test H0: σ2 = 16 versus Ha: σ2 ≠ 16, what is the absolute value of the test statistic you would use?

Question