Automotive dealerships have made recent efforts to reduce the amount of time required to purchase a car.

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Automotive dealerships have made recent efforts to reduce the amount of time required to purchase a car. One strategy is to use the Internet to streamline the process by providing prospective buyers with car information. According to J.D. Powers, the average number of minutes to negotiate a deal to purchase a car at the dealership was 60.3 minutes in 2012. Assume the number of minutes to negotiate a deal follows the normal probability distribution with a standard deviation of 17.9 minutes and that these statistics still hold true.

a. What is the probability that a random customer spent

1. Less than 30 minutes negotiating a deal?

2. More than 45 minutes negotiating a deal?

3. Between 50 and 90 minutes negotiating a deal?

4. Between 65 and 85 minutes negotiating a deal?

b. Use Excel or PHStat to confirm the answers in part a.

c. How many minutes of negotiating are in the 35th percentile?

Distribution
The word "distribution" has several meanings in the financial world, most of them pertaining to the payment of assets from a fund, account, or individual security to an investor or beneficiary. Retirement account distributions are among the most...
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Business Statistics

ISBN: 9780321925121

2nd Edition

Authors: Robert A. Donnelly

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