Researchers in leading chemical manufacturing company

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Reference no: EM131002447

The year-end bonuses of cash, stock and stock options (in thousands of US dollars) given to senior technical researchers in a leading chemical manufacturing company, each year over a ?ve-year period from 1990-1994, has a lognormal distribution with scale parameter α = 3 and shape parameter β = 0.5.

(i) Determine the probability that someone selected at random from this group received a bonus of $20, 000 or higher.

(ii) If a bonus of $100, 000 or higher is considered a "Jumbo" bonus, what percentage of senior technical researchers received such bonuses during this period?

(iii) If a bonus in the range $10, 000-$30, 000 is considered more typical, what percentage received this typical bonus?

Reference no: EM131002447

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