Compute the expected payoff, variance, and the standard deviation for each of the following probability distributions: a.
Question:
a. A payoff of 200 with a probability of 0.4 and 500 with a probability of 0.6.
b. A payoff is 110 with a probability of 0.2; 130 with a probability of 0.3; 150 with a probability of 0.1; and 170 with a probability of 0.4.
c. Every possible payoff that's a whole number between (and including) 100 and 200, each with the same probability.
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 71% (7 reviews)
a Expected payoff 380 Variance 21600 Standard deviation 14697 b Expected payoff 144 ...View the full answer
Answered By
Pushpinder Singh
Currently, I am PhD scholar with Indian Statistical problem, working in applied statistics and real life data problems. I have done several projects in Statistics especially Time Series data analysis, Regression Techniques.
I am Master in Statistics from Indian Institute of Technology, Kanpur.
I have been teaching students for various University entrance exams and passing grades in Graduation and Post-Graduation.I have expertise in solving problems in Statistics for more than 2 years now.I am a subject expert in Statistics with Assignmentpedia.com.
4.40+
3+ Reviews
10+ Question Solved
Related Book For
Question Posted:
Students also viewed these Economics questions
-
The Oklahoma Pipeline Company projects the following pattern of inflows from an investment. The inflows are spread over time to reflect delayed benefits. Each year is independent of the others. The...
-
Consider two lotteries, A and B. With lottery A, there is a 0.90 chance that you receive a payoff of $0 and a 0.10 chance that you receive a payoff of $400. With lottery B, there is a 0.50 chance...
-
Calculate the expected return, variance, and standard deviation for each stock listed below. State of the Economy Probability Stock A Stock B Stock OC Recession 15% 6590 2000 -20% 18% 40% -10% 13%...
-
Crystal Cleaners dry cleans industrial clothing. The following excerpt from its PPE Subledger shows the component details regarding the dry cleaning equipment: Calculate depreciation on the dry...
-
As the CEO of Middling Hardware Company, you examined the following measures of the performance of three divisions (in thousands of dollars): 1. Calculate for each division the rate of return on net...
-
The comparative balance sheet of Hirayama Industries Inc. for December 31, 20Y2 and 20Y1, is as follows: The following additional information is taken from the records: 1. Land was sold for $153. 2....
-
Managing diabetes People with diabetes measure their fasting plasma glucose (FPG; measured in units of milligrams per milliliter) after fasting for at least 8 hours. Another measurement, made at...
-
Consider the following data for Robert Campbell Tax Services: Static budget data: sales, 3,500 clients at $350 each; variable costs, $300 per client; fixed costs, $150,000 Actual results at actual...
-
STEPS 121 Task: I am a new bookkeeper for a new client and this client wants me to install QuickBooks for Mac on his computer, and write up instructions on how to install, create a file, and enter...
-
MARKETING EXCELLENCE Given today's increasingly hectic lifestyles, precooked meals and processed ingredients are becoming the norm for Canadian families to use in preparing their daily meals....
-
Recall the risk-sharing problem illustrated in Figure 11.15. Show graphically that if Maria is less risk averse, she'll want to buy a larger fraction of the sunscreen concession (represented by a...
-
The Giants are playing the Yankees in the World Series. According to the odds makers, there is a 60 percent probability that the Yankees will win. Martin can buy a company that makes Yankees t-shirts...
-
Multiple Choice Questions 1. When the Federal Reserve increases the money supply, it __________ aggregate demand and moves the economy along the Phillips curve to a point with __________ inflation...
-
Sample grade point averages for ten male students and ten female students are listed. Males 2.4 3.7 3.8 3.9 Females 2.8 3.7 2.1 3.9 2.8 2.6 3.6 3.3 4.0 1.9 3.6 4.0 2.0 3.9 3.7 2.3
-
Fill in the columns in the following table. What quantity should a profit-maximizing firm produce? Verify your answer with marginal reasoning. 9 0 1 2 3 st 4 5 6 TFC $5 5 5 5 5 5 5 TVC $0 3 5 9 16 25...
-
Perform the experiments in Problems 48-51, tally your results, and calculate the probabilities (to the nearest hundredth). Flip three coins simultaneously 100 times, and note the results. The...
-
The following information is available for Spring Inc. and Winter Inc. at December 31, 2011: Required a. What is the accounts receivable turnover for each of the companies for 2011? b. What is the...
-
Margin of error = 0.5 g, standard deviation = 8.7 g
-
Graph the lines through the given points and with the given slopes as indicated in Problems 19-30. \((2,-3) ; m=1.5\)
-
The financial statements of Eastern Platinum Limited (Eastplats) are presented in Appendix A at the end of this textbook. Instructions (a) Does East plats report any investments on its statement of...
-
Briefly explain the responsibility of company management and the independent auditors in the accounting communication process. LO1.
-
1. The wage for a particular occupation will be relatively low if labor _______ (demand/supply) is small relative to labor _______ (demand/supply). 2. If a city has a relatively high crime rate, we...
-
1. The wage for a particular occupation will be relatively low if labor _______ (demand/supply) is small relative to labor _______ (demand/supply). 2. If a city has a relatively high crime rate, we...
-
1. The wage for a particular occupation will be relatively low if labor _______ (demand/supply) is small relative to labor _______ (demand/supply). 2. If a city has a relatively high crime rate, we...
-
Oct. 31: Paid salaries, $45,000 ( 75% selling, 25% administrtive). Data table Data table them to retail stores. The company has three inventory items: and floor lamps. RLC uses a perpetual inventory...
-
question 1- You borrow a simple loan of SR 500,000, interest rate is 20%, it matures in one year. what's the yied to maturity? question 2- calculate_i for One-Year Discount Bond with price(p) =...
-
Taste of Muscat is a reputed chain of restaurants operating in Oman. Assume You are working as a management accountant for this restaurant chain which is specialized in all types of Arabic food. Your...
Study smarter with the SolutionInn App