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A family is considering a move form a mid-western city to a city in California. The distribution of housing costs where the family currently lives
A family is considering a move form a mid-western city to a city in California. The distribution of housing costs where the family currently lives is normal, with mean $105,000 and standard deviation $18,200. The distribution of housing costs in the California city is normal with mean $235,000 and standard deviation $30,400. The family's current house is valued at $110,000.
- Q1: What percentage of houses in the family's current city cost less than theirs?
- Q2: What price house will the family need to buy to be in the same percentile (of housing costs) in the new city as they are in the current city?
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