Linear Combination of Random Variables: E (X) and Var (X) of Modified Random Variable
Linear Combination of Random Variables: E (X) and Var (X) of Modified Random Variable
Linear Combination of Random Variables: E (X) and Var (X) of Modified Random Variable
variables
Syllabus A2 Statistic
⭐
E(X) scales up if each of the value being
multiplied; adding also adds to E(X) E(aX ± b) =
Var(X) changed by square because σ is aE(X) ± b
changed by a; adding keep same distance
⭐ Var(aX ± b) =
a2 Var(X)
⭐
New set of value where X
is added to Y E(aX ± bY ) = aE(X) ± bE(Y )
Both random variable are
independent to each other
Both random variables have normal distribution and are independent to each other:
⭐ X ∼ N(μ1 , (σ1 )2 )
Y ∼ N(μ2 , (σ2 )2 )
} ⟹ (aX ± bY ) ∼ N(aμ1 ±
⭐
Note that:
} ⟹ (aX + bY ) ∼ P o(aλ1 +
X ∼ P o(λ1 ) λ=
Y ∼ P o(λ2 ) Var(X)for
bλ2 ) Poisson dist