Advertisements
Advertisements
Question
In investment, a man can make a profit of ₹ 5,000 with a probability of 0.62 or a loss of ₹ 8,000 with a probability of 0.38. Find the expected gain
Advertisements
Solution
| X | 5000 | – 8000 |
| P(X = x) | 0.62 | 0.38 |
Let x be the random variable of getting gain in an Investment
E(x) be the random variable of getting gain in an Investment
E(x) = ΣPixi
= (0.62 × 5000) + [0.38 × (– 8000)]
= 3100 – 3040
E(x) = 60
∴ Expected gain = ₹ 60
APPEARS IN
RELATED QUESTIONS
If µ and σ2 are the mean and variance of the discrete random variable X and E(X + 3) = 10 and E(X + 3)2 = 116, find µ and σ2
A commuter train arrives punctually at a station every half hour. Each morning, a student leaves his house to the train station. Let X denote the amount of time, in minutes, that the student waits for the train from the time he reaches the train station. It is known that the pdf of X is
`f(x) = {{:(1/30, 0 < x < 30),(0, "elsewhere"):}`
Obtain and interpret the expected value of the random variable X
Choose the correct alternative:
Four buses carrying 160 students from the same school arrive at a football stadium. The buses carry, respectively, 42, 36, 34, and 48 students. One of the students is randomly selected. Let X denote the number of students that were on the bus carrying the randomly selected student. One of the 4 bus drivers is also randomly selected. Let Y denote the number of students on that bus. Then E(X) and E(Y) respectively are
Choose the correct alternative:
If P(X = 0) = 1 – P(X = 1). If E[X] = 3 Var(X), then P(X = 0) is
What are the properties of Mathematical expectation?
What do you understand by Mathematical expectation?
Let X be a random variable and Y = 2X + 1. What is the variance of Y if variance of X is 5?
Choose the correct alternative:
Demand of products per day for three days are 21, 19, 22 units and their respective probabilities are 0.29, 0.40, 0.35. Profit per unit is 0.50 paisa then expected profits for three days are
Choose the correct alternative:
E[X – E(X)]2 is
Prove that V(aX) = a2V(X)
