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November 22, 2014

November 22, 2014

Posted by **Steven** on Wednesday, November 13, 2013 at 7:09pm.

Projected Price Probability

$8.00 0.10

$9.00 0.20

$10.00 0.25

$11.00 0.30

$12.00 0.15

Suppose X denotes the profit he will make from the sale of the 100 shares.

• What is the expected value of X?

• What is the variance of X?

- Statistics -
**Kuai**, Wednesday, November 13, 2013 at 7:39pmexpect value x

a. 8(0.1) + 9(.2) + 10(.25) + 11(.30) + 12 (.15) = 10.2

b. 8^2(0.1) + 9^2(.2) + 10^2(.25) + 11^2(.30) + 12^2(.15) = 180.5

- Statistics -
**Steven**, Wednesday, November 13, 2013 at 11:35pmAre you sure that is the variance. I got .14

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