The monthly demand for a product is normally distributed with mean = 700 and standard deviation = 200.
1. what is probability demand will exceed 900 units in a month?
2. what is probability demand will be less than 392 units in a month?

 a)  0.1587  b)  0.0618

Step-by-step explanation:

Let x be the random variable that  represents the monthly demand for a product.

Given : The monthly demand for a product is normally distributed with mean = 700 and standard deviation = 200.

i.e.   and  

a) Using formula , the z-value corresponds to x= 900 will be :

Now, by using the standard normal z-table , the probability demand will exceed 900 units in a month :-

Hence, the probability demand will exceed 900 units in a month=0.1587

a) Using formula , the z-value corresponds to x=  392 will be :

Now, by using the standard normal z-table , the probability demand will be less than 392 units in a month :-

Hence, the probability demand will be less than 392 units in a month = 0.0618

christopher is 272,195 year old

step-by-step explanation:

required rate of return = 0.166 = 16.6%

step-by-step explanation:

under the capital asset pricing model (capm), the required or expected rate of return for a particular security or asset is given using the formula:

required rate of return = risk-free rate + beta*(market risk premium)

we are given that;

risk-free rate = 4% = 0.04

beta = 1.4

market risk premium = 9% = 0.09

we simply plug these values into the above formula;

required rate of return = 0.04 + 1.4*(0.09)

required rate of return = 0.04 + 0.126

required rate of return = 0.166 = 16.6%