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Suppose thatnletters are put at random intonenvelopes, as in the matching problem described in Sec. 1.10. Determine the variance of the number of letters that are placed in the correct envelopes.

Short Answer

Expert verified

The variance of the number of letters that are placed in the correct envelopes is 1.

Step by step solution

01

Given information

Referring to the sec. 1.10, there are n letters and n envelopes. The letters have to be put into the correct envelopes.

02

State the events

Let’s consider some events, such that,

\({M_n} = {X_1} + {X_2} + \cdots + {X_n}\)= the number of correct matches

Let’s assume that\({X_i}\)follows Bernoulli distribution. So, the variable is either 0 if placed wrong envelop or 1 if placed right envelop.

So, for\(\left( {{X_1} = 1} \right)\)the probability mass function is\(\Pr \left( {{X_1} = 1} \right) = \frac{1}{n}\)

And for\(\left( {{X_1} = 0} \right)\)the p.m.f is\(\Pr \left( {{X_1} = 0} \right) = 1 - \frac{1}{n} = \left( {\frac{{n - 1}}{n}} \right)\).

The expected value of\({X_1}\)is,

\(\begin{aligned}{}E\left( {{X_1}} \right) = 1 \times \frac{1}{n} + 0 \times \left( {\frac{{n - 1}}{n}} \right)\\ = \frac{1}{n}\end{aligned}\)

Similarly, there can be obtained the expected value of \({X_2},{X_3}\) and so on.

03

Calculation of the expectation of the number of correct matches

The expected number of correct matches is,

\(\begin{aligned}{}E\left( {{M_n}} \right) = \sum\limits_{k = 0}^n {k \times \Pr \left( {X = k} \right)} \\ = E\left( {{X_1} + {X_2} + \cdots + {X_3}} \right)\\ = \sum\limits_{i = 1}^n {E\left( {{X_i}} \right)} \\ = n \times \frac{1}{n}\\ = 1\end{aligned}\)

Now,

\(\begin{aligned}{}E\left( {M_n^2} \right) = \sum\limits_{k = 0}^n {{k^2}P\left( {{M_n} = k} \right)} \\ = \sum\limits_{k = 1}^{n - 2} {{k^2}\left( {\frac{1}{{k!}}\sum\limits_{i = 2}^{n - k} {\frac{{{{\left( { - 1} \right)}^i}}}{{i!}}} } \right) + {n^2}\frac{1}{{n!}}} \\ = \sum\limits_{k = 1}^{n - 2} {\left( {\frac{k}{{\left( {k + 1} \right)!}}\sum\limits_{i = 2}^{n - k} {\frac{{{{\left( { - 1} \right)}^i}}}{{i!}}} } \right) + \frac{n}{{\left( {n - 1} \right)!}}} \\ = \sum\limits_{k = 0}^{n - 3} {\left( {\frac{{k + 1}}{{k!}}\sum\limits_{i = 2}^{n - 1 - k} {\frac{{{{\left( { - 1} \right)}^i}}}{{i!}}} } \right) + \frac{n}{{\left( {n - 1} \right)!}}} \\ = \sum\limits_{k = 0}^{n - 3} {k\left( {\frac{1}{{k!}}\sum\limits_{i = 2}^{n - 1 - k} {\frac{{{{\left( { - 1} \right)}^i}}}{{i!}}} } \right) + \sum\limits_{k = 0}^{n = 3} {\left( {\frac{1}{{k!}}\sum\limits_{i = 2}^{n - 1 - k} {\frac{{{{\left( { - 1} \right)}^i}}}{{i!}}} } \right)} } + \frac{{n - 1 + 1}}{{\left( {n - 1} \right)!}}\\ = \left( {\sum\limits_{k = 0}^{n - 3} {k\left( {\frac{1}{{k!}}\sum\limits_{i = 2}^{n - 1 - k} {\frac{{{{\left( { - 1} \right)}^i}}}{{i!}}} } \right)} + \frac{{n - 1}}{{\left( {n - 1} \right)!}}} \right) + \left( {\sum\limits_{k = 0}^{n - 3} {k\left( {\frac{1}{{k!}}\sum\limits_{i = 2}^{n - 1 - k} {\frac{{{{\left( { - 1} \right)}^i}}}{{i!}}} } \right)} + \frac{1}{{\left( {n - 1} \right)!}}} \right)\\ = E\left( {{M_{n - 1}}} \right) + \sum\limits_{k = 0}^{n - 1} {\Pr \left( {{M_{n - 1}} = k} \right)} \\ = 1 + 1\\ &= 2\end{aligned}\)

So, the variance of\({M_n}\)is,

\(\begin{aligned}{}Var\left( {{M_n}} \right) = E\left( {M_n^2} \right) - {\left( {E\left( {{M_n}} \right)} \right)^2}\\ = 2 - 1\\ = 1\end{aligned}\)

Therefore, the variance of the number of letters that are placed in the correct envelopes is 1.

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Most popular questions from this chapter

Suppose that a fair coin is tossed repeatedly until exactlykheads have been obtained. Determine the expected number of tosses that will be required.

Hint:Represent the total number of tossesXin the form \({\bf{X = }}{{\bf{X}}_{\bf{1}}}{\bf{ + }} \cdots {\bf{ + }}{{\bf{X}}_{\bf{k}}}\), where \({{\bf{X}}_{\bf{i}}}\)is the number of tosses required to obtain theith head afteri−1 heads have been obtained.

Suppose that the distribution of X is symmetric around a point m. Prove that m is a median of X.

Consider the example efficient portfolio at the end of Example 4.3.7. Suppose that \({R_i}\) has the uniform distribution on the interval \(\left( {{a_i},{b_i}} \right)\) for \(i = 1,2\).

a. Find the two intervals \(\left( {{a_1},{b_1}} \right)\) and \(\left( {{a_2},{b_2}} \right)\). Hint: The intervals are determined by the means and variances.

b. Find the value at risk (VaR) for the example portfolio at probability level 0.97. Hint: Review Example 3.9.5 to see how to find the p.d.f. of the sum of two uniform random variables.

Consider again the conditions of Exercise 2, but suppose now that X has a discrete distribution with c.d.f.\(F\left( x \right)\)F (x),rather than a continuous distribution. Show that the conclusion of Exercise 2 still holds

Let X be a random variable having the binomial distribution with parameters \(n = 7\)and\(p = \frac{1}{4}\), and let Y be a random variable having the binomial distribution with parameters \(n = 5\) and \(p = \frac{1}{2}\). Which of these two random variables can be predicted with the smaller M.S.E?

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