Answer to Question #238068 in Statistics and Probability for Sethunya

Question

The monthly salaries of the employees at Lyman Limited follow a normal distribution with an average salary of R 14 000 and a standard deviation of R 500. ,If a female employee claims to be in the top 10% of highest paid employees at the company, what must be her minimum monthly salary

Answer 1

$\mu = 14000 \\ \sigma= 500 \\ Z= \frac{x- \mu}{\sigma}$

For the top 10% P=0.90

From Z table:

$1.28 = \frac{x-14000}{500} \\ x = 14000 + (1.28 \times 500) \\ = 14640$