An analyst has available two forecasts, F1 and F2, of earnings per share of a corporation next
Question:
The analyst wants to choose a value between 0 and 1 for the weight X, but he is quite uncertain of what will be the best choice. Suppose that what eventually emerges as the best possible choice of the weight
X can be viewed as a random variable uniformly distributed between 0 and 1, having the probability density function
a. Graph the probability density function.
b. Find and graph the cumulative distribution function.
c. Find the probability that the best choice of the weight X is less than 0.25.
d. Find the probability that the best choice of the weight X is more than 0.75.
e. Find the probability that the best choice of the weight X is between 0.2 and 0.8.
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Related Book For
Statistics For Business And Economics
ISBN: 9780132745659
8th Edition
Authors: Paul Newbold, William Carlson, Betty Thorne
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