The following data are known about the sample applicant:

14. The following data are known about the sample applicant:

Age: 42.00

Years at Employer: 12.44

Years at Address: 0.9

Income: $121,400

CC debt: -34,228

Auto debt: -23,411

To convert above inputs to standardized form, locate the Training Set Spreadsheet (first bottom tab) in the Data for Final Project Workbook.

Use those means [Cells C207:H207] and standard deviations [Cells C209:H209].

Use the Training Set profitability mean [$1,905.51] and standard deviation [$5755.91] from the Profit and Loss (last tab on bottom) Spreadsheet

Use the Test Set standard deviation of error on standardized outputs of .6750

Question: With 50% confidence, what is the range of profitability?

 

  • Range from $13,304.16 to $8,063.06.
  • Range from $12,962.61 to $10,683.61
  • Range from $11,823.28 to $9,543.94
  • Range from $10,683.61 to – $2,278.99