A manager for a firm that sells advertising space in magazines and periodicals is considering a number of new initiatives to recognize high-performing members of her sales force. Assume that the annual sales revenue for members of her sales force is normally distributed with a population mean of $800,000 and a population standard deviation of $100,000.

Question

A manager for a firm that sells advertising space in magazines and periodicals is considering a number of new initiatives to recognize high-performing members of her sales force. Assume that the annual sales revenue for members of her sales force is normally distributed with a population mean of $800,000 and a population standard deviation of $100,000.

One option is to recognize all salespeople with annual sales exceeding one million with a “Platinum Achiever” designation. What percentage of her salespeople would qualify for this designation?
Answer
.0228
.0562
.0728
.0913
.1015
.1123

Answer 1

Z = (score-mean)/SD

Find table in the back of your statistics text labeled something like "areas under normal distribution" to find the proportion related to the Z score.