Solution-Scores of the remaining customers

Scores of the remaining customers

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Reference no: EM133068675

The accounts of 4,500 credit card customers out of a sample of 40,000 that were reviewed did not perform satisfactorily. The credit scores assigned to these applicants when originally assessed had a mean of 70 and standard deviation of 8.

The scores of the remaining customers had a mean of 87 and a standard deviation of 12. Assuming these distributions are approximately normal, if the cut-off score was revised upward to 82.

Complete the following table:

	Creditworthiness
	High	Low
Mean credit score	87	70
Standard deviation of credit score	12	8
Probability of receiving credit (%)
Probability of being denied credit (%)

Reference no: EM133068675

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Scores of the remaining customers

Reference no: EM133068675

Reference no: EM133068675

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