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A study by a Canadian Bank reveals that the processing time for small business loans for their customers (in working days) is approximately normally distributed. The study shows that the mean processing time for small business loans is 20 working days, and the standard deviation is 6 working days.
a) What percent of small business loans are processed within 15 working days?
b) What percent of small business loans are processed in more than 15 working days but less than 25 working days?
c) The bank has designed a training program for its loan advisors to reduce the percent of small business loans processed in more than 25 working days. The program is estimated to reduce the percent of these loans to 2.44%. What is the change in the percent of small business loans processed in more than 25 working days due to the training program? If the standard deviation remains the same (i.e., 6), what is the new mean processing time for small business loans due to the training program designed by the bank?
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