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Exercise introduced random variables X and Y, the number of cars and buses, respectively, carried by ferry on a single trip. The joint pmf of X and Y is given in the table in Exercise. It is readily verified that X and Y are independent.

a. Compute the expected value, variance, and standard deviation of the total number of vehicles on a single trip.

b. If each car is charged\(\$ {\bf{3}}\)and each bus\(\$ {\bf{10}}\), compute the expected value, variance, and standard deviation of the revenue resulting from a single trip.

Short Answer

Expert verified

a. The expected value, variance, and standard deviation of the vehicles are\(3.5,\;2.27,\;and\;1.15\)respectively.

b. The expected value, variance, and standard deviation of the revenue resulting from the single-carare\(15.4,\;75.94,\;and\;8.71\)respectively.

Step by step solution

01

Definition of Variance

Variance is the expected squared variation of a random variable from its population mean or sample mean in probability theory and statistics. Variance is a measure of dispersion, or how far a set of numbers deviates from its average value.

02

Calculation for finding expected value, variance, and standard deviation in part a.

(a):

The following is the marginal pmf of X

and the marginal pmf of Y

Compute expected values as follows

\(\begin{array}{l}E(X) = 0 \cdot 0.05 + 1 \cdot 0.1 + 2 \cdot 0.25 + 3 \cdot 0.3 + 4 \cdot 0.2 + 5 \cdot 0.1 = 2.8\\E(Y) = 0 \cdot 0.5 + 1 \cdot 0.3 + 2 \cdot 0.2 = 0.7\end{array}\)

The variances of the given random variables are

\(\begin{aligned}V(X) &= E\left( {{X^2}} \right) - {(E(X))^2}\\ &= {0^2} \cdot 0.05 + {1^2} \cdot 0.1 + {2^2} \cdot {0.25^2} + 3 \cdot 0.3 + {4^2} \cdot 0.2 + {5^2} \cdot 0.1 - {2.8^2}\\ &= 1.66\\V(Y) &= E\left( {{Y^2}} \right) - {(E(Y))^2}\\ &= {0^2} \cdot 0.5 + {1^2} \cdot 0.3 + {2^2} \cdot 0.2 - {0.7^2}\\& = 0.61\end{aligned}\)

03

Calculation for finding expected value, variance, and standard deviation in part a.

The total number of vehicles is a random variable

\(Z = X + Y\)

therefore, the mean value is

\(\begin{aligned}E(Z) &= E(X + Y)\\ &= E(X) + E(Y)\\ &= 2.8 + 0.7\\ &= 3.5\end{aligned}\)

the variance is

\(\begin{aligned}V(Z) &= V(X + Y)\mathop = \limits^{(1)} V(X) + V(Y)\\ &= 1.66 + 0.61\\ &= 2.27\end{aligned}\)

where (1) stands because of the independence. Finally, the standard deviation of the total number of vehicles is

\({\sigma _Z} = \sqrt {V(Z)} = \sqrt {2.27} = 1.51.\)

04

Calculation for finding expected value, variance, and standard deviation in part b.

(b):

We look at random variable

\(U = 3X + 10Y\)

therefore, the mean value is

\(\begin{aligned}E(U) &= E(3X + 10Y)\\ &= 3E(X) + 10E(Y)\\ &= 3 \cdot 2.8 + 10 \cdot 0.7\\ &= 15.4\end{aligned}\)

the variance is

\(\begin{aligned}V(U) &= V(3X + 10Y)\mathop = \limits^{(1)} {3^2}V(X) + {10^2}V(Y)\\ &= 9 \cdot 1.66 + 100 \cdot 0.61\\ &= 75.94\end{aligned}\)

where (1) stands because of the independence. Finally, the standard deviation of the random variable U is\({\sigma _U} = \sqrt {V(U)} = \sqrt {75.94} = 8.71.\)

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Most popular questions from this chapter

Consider a random sample of size n from a continuous distribution having median \({\rm{0}}\)so that the probability of any one observation being positive is \({\rm{.5}}\). Disregarding the signs of the observations, rank them from smallest to largest in absolute value, and let \({\rm{w = }}\)the sum of the ranks of the observations having positive signs. For example, if the observations are \({\rm{ - }}{\rm{.3, + }}{\rm{.7, + 2}}{\rm{.1 and - 2}}{\rm{.5 }}\) then the ranks of positive observations are \({\rm{ 2and 3 }}\), so \({\rm{w = 5}}\). In Chapter \({\rm{15}}\), W will be called Wilcoxon鈥檚 signed-rank statistic. \({\rm{w}}\)can be represented as follows:

where the Yi 鈥檚 are independent Bernoulli rv鈥檚, each with \({\rm{ p = }}{\rm{.5 }}\) (\({{\rm{Y}}_{\rm{1}}}{\rm{ = 1}}\)corresponds to the observation with rank \({\rm{i }}\)being positive)

a. Determine \({\rm{E}}\left( {{{\rm{Y}}_{\rm{i}}}} \right){\rm{ }}\)and then \({\rm{E(W)}}\)using the equation for \({\rm{W}}\). (Hint: The first n positive integers sum to \({\rm{n(n + 1)/2}}{\rm{.)}}\)

b. Determine \({\rm{V(}}{{\rm{Y}}_{\rm{1}}}{\rm{)}}\)and then \({\rm{V(W)}}\). (Hint: The sum of the squares of the first n positive integers can be expressed as \({\rm{n(n + 1)(2n + 1)/6}}{\rm{.)}}\)

Rockwell hardness of pins of a certain type is known to have a mean value of 50 and a standard deviation of \({\rm{1}}{\rm{.2}}{\rm{.}}\)

a. If the distribution is normal, what is the probability that the sample mean hardness for a random sample of \({\rm{9}}\) pins is at least \({\rm{51}}\)?

b. Without assuming population normality, what is the (approximate) probability that the sample mean hardness for a random sample of \({\rm{40 }}\) pins is at least \({\rm{51}}\)?

The time taken by a randomly selected applicant for a mortgage to fill out a certain form has a normal distribution with mean value \({\rm{10}}\) min and standard deviation \({\rm{2}}\) min. If five individuals fill out a form on one day and six on another, what is the probability that the sample average amount of time taken on each day is at most \({\rm{11}}\) min?

A restaurant serves three fixed-price dinners costing \({\rm{12, 15and 20}}\). For a randomly selected couple dining at this restaurant, let \({\rm{X = }}\)the cost of the man鈥檚 dinner and \({\rm{Y = }}\)the cost of the woman鈥檚 dinner. The joint \({\rm{pmf's}}\) of \({\rm{X and Y }}\)is given in the following table:

a. Compute the marginal \({\rm{pmf's}}\)of \({\rm{X and Y }}\)

b. What is the probability that the man鈥檚 and the woman鈥檚 dinner cost at most \({\rm{15}}\)each?

c. Are \({\rm{X and Y }}\)independent? Justify your answer.

d. What is the expected total cost of the dinner for the two people?

e. Suppose that when a couple opens fortune cookies at the conclusion of the meal, they find the message 鈥淵ou will receive as a refund the difference between the cost of the more expensive and the less expensive meal that you have chosen.鈥 How much would the restaurant expect to refund?

a. For \({\rm{f}}\)(\({{\rm{X}}_{\rm{1}}}{\rm{,}}{{\rm{X}}_{\rm{2}}}{\rm{,}}{{\rm{X}}_{\rm{3}}}\)) as given in Example \({\rm{5}}{\rm{.10}}\), compute the joint marginal density function of \({{\rm{X}}_{\rm{1}}}{\rm{and}}{{\rm{X}}_{\rm{3}}}\)alone (by integrating over x2).

b. What is the probability that rocks of types \({\rm{1 and 3}}\)together make up at most \({\rm{50\% }}\)of the sample? (Hint: Use the result of part (a).)

c. Compute the marginal pdf of \({{\rm{X}}_{\rm{1}}}\) alone. (Hint: Use the result of part (a).)

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