Pay scales of federal government employees are determined according to each empl

Question

Pay scales of federal government employees are determined according to each employee's government service (GS) rating. GS-10 experienced accountants with the Government Accounting Office (GAO) were reported to earn salaries that are approximately normally distributed, with a mean of $28,440 and a standard deviation of $1,236.

A. What proportion of GS-10 accountants with the GAO earn more than $30,000?

B. What is the fraction who earn less than $26,000 in annual Salary?

**Please show work and explain

Explanation / Answer

a) Z= (x-mean)/sigma = (30000-28440)/1236= 1.2621

P(z>1.2621) can be found from normal tables as 0.103456

b) Z= (x-mean)/sigma = (26000-28440)/1236= -1.97

P(z<-1.97) = 0.0244 from normal tables.

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