An Analyst Is Forecasting Net Income for Excellence Corporation for the Next

Multiple Choice

An analyst is forecasting net income for Excellence Corporation for the next fiscal year. Her low-end estimate of net income is $250,000, and her high-end estimate is $350,000. Prior research allows her to assume that net income follows a continuous uniform distribution. The probability that net income will be greater than or equal to $337,500 is ________.

A) 12.5%
B) 29.6%
C) 87.5%
D) 96.4%