WebFeb 2, 2024 · Should you take the bet? You can use the expected value equation to answer the question: E(x) = 100 * 0.35 + (-45) * 0.65 = 35 - 29.25 = 5.75. The expected value of this bet is $5.75. The result suggests you should take the bet. If you play many games in which the expected value is positive, the gains will outweigh the costs in the long run. WebStudy with Quizlet and memorize flashcards containing terms like Probability distribution uniform probability distribution normal probability distribution, 70-90 probability of mean having a value b/w 80 and 95, 6-10 mins assembly 1.) prob of assembly b/w 7 and 9 2.)under 6 mins and more.
3.2.1 - Expected Value and Variance of a Discrete Random Variable
WebAug 25, 2024 · The standard deviation of expected returns is closest to: A. 0.00007475. B. 0.0495. C. 0.008646. Solution The correct answer is C. The first step involves determining the expected return: E(X) = (0.04×0.4)+(0.05×0.25)+(0.06×0.35) = 0.0495 E ( X) = ( 0.04 × 0.4) + ( 0.05 × 0.25) + ( 0.06 × 0.35) = 0.0495 WebCalculate the expected value, the variance, and the standard deviation of the given random variable X. (Round all answers to two decimal places.) X is the number of red marbles that Suzan has in her hand after she selects five marbles from a bag containing five red marbles and two green ones. expected value. variance. standard center for retinal and macular diseases
Expected Value Definition, Formula, and Examples
WebAug 5, 2024 · To calculate the standard deviation (σ) of a probability distribution, find each deviation from its expected value, square it, multiply it by its probability, add the … WebVariance of given variable is the expected value of the squared difference between the variable and its expected value. Standard deviation is the square root of variance. Typically, smaller variances are considered better. Take the next step WebA Random Variable is a variable whose possible values are numerical outcomes of a random experiment. The Mean (Expected Value) is: μ = Σxp. The Variance is: Var (X) = Σx2p − μ2. The Standard Deviation is: σ = √Var (X) Question 1 Question 2 Question 3 Question 4 Question 5 Question 6 Question 7 Question 8 Question 9 Question 10. center for restorative dentistry