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

  How could the selling price of the bonds be determined

How could the selling price of the bonds be determined

  Calculate the return on assets for 2011

Explain whether translation has distorted the Spanish subsidiary's performance in 2012 compared with 2011.  If so, explain how changes in the exchange rate contributed to the distortion.

  How much more will that amount be than the cash price

John Walters is comparing the cost of credit to the cash price of an item. If John makes a $60 down payment and pays $32 a month for 24 months, how much more will that amount be than the cash price of $685?

  Determine the amounts standard quantity of material

Determine the amounts Standard quantity of material for production achieved, actual quantity of material used and Actual quantity of material purchased

  Which of the following statements is true

Carney, Pierce, Menton, and Hoehn are partners who share profits and losses on a 4:3:2:1 basis, respectively. They are beginning to liquidate the business.

  Prepare balance sheet for canberra limited

Prepare an Income Statement and balance sheet for Canberra Limited for the year ending 31st December 2012 - Prepare closing Entries

  List several overhead costs or costs not applicable

List several overhead costs, or costs not applicable to a particular department, and explain how the  existence of such costs (sometimes called common costs orjoint costs) complicates and limits the use of accounting data in making decisions  in s..

  Complete the worksheet for all accounts

Enter the unadjusted balances and adjustments into a worksheet and complete the worksheet for all accounts

  Calculate the current ratio

Calculate the current ratio and Does it appear likely that Mister Ribs will be able to pay its current liabilities as they come due in the next year?

  Factor influencing multinational business and accounting

State whether or not you agree with preceding statement, and prepare an argument to support the position taken.

  Prepare revenues budget

Prepare Revenues budget and Production budget in units

  Compute the budgeted cash payment for purchases

Purchases will be made in 12 equal monthly amounts and paid for in the following month. Compute the budgeted cash payment for purchases of Calvos for 2010.

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