Independent solution

How to solve this Normal Distribution question

Setup

Setup

Write each supplied percentile as the mean plus its standard-normal quantile times the standard deviation.

qp=μ+zpσq_p=\mu+z_p\sigma
z0.05=1.644853627,z0.99=2.326347874z_{0.05}=-1.644853627,\qquad z_{0.99}=2.326347874

Model

Model

Substitute the two given percentile values to obtain a linear system for the mean and standard deviation.

25=μ1.644853627σ-25=\mu-1.644853627\sigma
83=μ+2.326347874σ83=\mu+2.326347874\sigma

Compute

Compute

Subtract the equations to find the standard deviation, then back-substitute for the mean and form the requested ratio.

σ=83(25)2.326347874(1.644853627)=27.19579955\sigma=\frac{83-(-25)}{2.326347874-(-1.644853627)}=27.19579955
μ=25+1.644853627(27.19579955)=19.73310953\mu=-25+1.644853627(27.19579955)=19.73310953
σμ=27.1957995519.73310953=1.378181148\left|\frac{\sigma}{\mu}\right|=\frac{27.19579955}{19.73310953}=1.378181148

Answer

Answer

The ratio rounds to 1.38, the value listed under choice E.

σ/μ1.38(E)\boxed{\left|\sigma/\mu\right|\approx 1.38\quad\text{(E)}}