Question
I'm confused by this problem. The average price for a gallon of gasoline in the United States is $3.73 and in Russia it is $3.40
I'm confused by this problem. The average price for a gallon of gasoline in the United States is $3.73 and in Russia it
is $3.40 (Bloomberg Businessweek, March 5-March 11, 2012). Assume these averages
are the population means in the two countries and that the probability distributions are
normally distributed with a standard deviation of $.25 in the United States and a standard
deviation of $.20 in Russia. c. what is the probability that a randomly selected gas station in Russia charged more
than the mean price in the United States?
How do I get from Z=3.73-3.40/.20
=1.65
to
P(z>1.65)=1-P(z1.65)
=1-0.9505
=0.495
I'm confused by the methodology.
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