Find the distribution of the annual income salary

Assignment Help Cost Accounting
Reference no: EM13556155

Salespeople of a large sales force received an annual bonus based upon performance. The size of the bonuses was normally distributed with a mean of £1000 and a standard deviation of £400.

The salary of the salespeople was normally distributed, too. The salaries yearly had mean £35,000 and standard deviation of £8,000.

Assume that salary and bonus sizes are independent.

a. Find the distribution of the annual income (salary and bonus) of salespeople in this company. Report its expected value, variance, and standard deviation. Please submit your calculations.

b. What is the probability that the yearly income of a salesman is larger than £55,000? Please solve this section using Excel and submit the formula you used, an explanation, and the answer.

Reference no: EM13556155

Questions Cloud

Determine how much water is left in the container : If you add 700 kJ of heat to 700 g of water at 70 degrees C, how much water is left in the container? The latent heat of vaporization of water is 22.6*10^5 J/kg
What is the probability that the sample mean : If you select a random sample of 30 download times, what is the probability that the sample mean is less than 0.75 second? Please submit your calculation and specify which theorem/s you used.
What is the change in temperature of the filament : he filament of a certain lamp has a resistance that increases linearly with temperature. What is the change in temperature of the filament
How long does it take the stone to reach the ground : A hoodlum throws a stone vertically downward with an initial speedof 11.3 m/s from the roof of abuilding, 28.0 m above theground. How long does it take the stone to reach the ground?
Find the distribution of the annual income salary : Find the distribution of the annual income salary and bonus of salespeople in this company. Report its expected value, variance, and standard deviation. Please submit your calculations.
What is the projected operating cash flow : What is the projected operating cash flow (OCF) for each of the three years the plant will be operational?
What is the volume of the sea water displaced by the boat : what is the weight of sea water displaced by a boat weighing 120kN? d=1300 Kg/m^3 what is the volume of the sea water displaced by the boat
Find the yearly financial statements : Demonstrate your ability to find the yearly financial statements that a public company files with the SEC. Prepare a report discussing your findings and utilize financial ratios in the report.
How long does this light pulse take to reach the tail : A spaceship has a length of 300m, measured in its own reference frame. It is traveling in the positive x direction at a speed of 0.8c relative to the earth. how long does this light pulse take to reach the tail

Reviews

Write a Review

 

Cost Accounting Questions & Answers

  Interest group theory prespective of regulation

Critically analyse and evaluate the arguments for, and against, for each of the case studies. Which arguments do you consider to be more compelling

  What is cost of raw material issued to wip

What is Cost of raw material issued to WIP, Cost of Goods Manufactured, Cost of Goods Sold and Net Income

  Determine the operating income for the olive oil division

Determine the operating income for the olive oil division using your recommendation.

  What is the carrying value of the note

What is the carrying value of the note as of September 30, 2013 - straight-line amortization of the discount

  Explain difference between a cost and an expense

Distinguishing between an expense and a cost. Christy Byrd tells you that the accountants where she works are real hair splitters. For example, they make a big issue over the difference between a cost and an expense. She says the two terms mean th..

  Detail the tax consequences to pa corporation

Detail the tax consequences to PA Corporation and its two shareholders on the liquidation of the corporation.

  Acme manufacturing company of portland oregon has a

acme manufacturing company of portland oregon has a research amp development department that currently provides

  Appropriate budget requests for project

A product improvement effort is underway to improve the reliability of JAWS. The fabrication and installation of the modification kits required to incorporate this product improvement into fielded JAWS should be funded with:

  Prepare the closing entries - post to retained earnings

Prepare the closing entries using page J15 - post to Retained Earnings and No. 350 Income Summary accounts. (Use the three-column form.)

  Differences between accounting profit and cash flow

What are the differences between accounting profit and cash flow and what was Senbets net operating income?

  Compute the unit product cost under cost absorption costing

Was the CPA correct in suggesting that the company really earned a "profit" for the month?

  Gruden company produces golf discs which it usually sells

gruden company produces golf discs which it usually sells to retailers for 7.23 each. the cost of manufacturing 16600

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd