A sample of restaurants in a city showed that the average cost of a glass of iced tea is $1.25 with a a standard deviation of 7c. Three of the restaurants charge 95¢, 1.00, and $1.35. Determine the z-value for each restaurant.

For the restaurant that charges 95 cents, the z-score is -4.29.

For the restaurant that charges $1, the z-score is -3.57.

For the restaurant that charges $1.35, the z-score is 1.43

Step-by-step explanation:

Z-score:

In a set with mean and standard deviation , the z-score of a measure X is given by:

The Z-score measures how many standard deviations the measure is from the mean. After finding the Z-score, we look at the z-score table and find the p-value associated with this z-score. This p-value is the probability that the value of the measure is smaller than X, that is, the percentile of X. Subtracting 1 by the p-value, we get the probability that the value of the measure is greater than X.

The average cost of a glass of iced tea is $1.25 with a standard deviation of 7c.

This means that

Restaurant that charges 95 cents:

The z-score is found when X = 0.95. So

For the restaurant that charges 95 cents, the z-score is -4.29.

Restaurant that charges $1:.

X = 1

For the restaurant that charges $1, the z-score is -3.57.

Restaurant that charges $1.35:

X = 1.35

For the restaurant that charges $1.35, the z-score is 1.43

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