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One method of arriving at economic forecasts is to use a consensus approach. A forecast is obtained from each of a large number of analysts,
One method of arriving at economic forecasts is to use a consensus approach. A forecast is obtained from each of a large number of analysts, and the average of these individual forecasts are approximately normally distributed with a mean equal to 4.25% and a standard deviation equal to 0.1%. A single analyst is randomly selected from this group. Problem 12 u = 4.24 % o = 0.1 % Use Excel functions to calculate the following probabilities. (6 pts.) a. What is the probability that the analyst's forecast of the prime rate will exceed 4.00%? b. What is the probability that the analyst's forecast of the prime rate will be less than 4.30%
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