Continue with Problem C.14, but now assume that X and y are positively correlated with a correlation

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Continue with Problem C.14, but now assume that X and y are positively correlated with a correlation coefficient of 0.6.
Problem C.14
If X ~ N(10, 3) and Y ~ N(15, 8), and if X and Y are independent, what is the probability distribution of
a. X + Y
b. X - Y
c. 3X
d. 4X + 5y
Distribution
The word "distribution" has several meanings in the financial world, most of them pertaining to the payment of assets from a fund, account, or individual security to an investor or beneficiary. Retirement account distributions are among the most...
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Essentials of Econometrics

ISBN: 978-0073375847

4th edition

Authors: Damodar Gujarati, Dawn Porter

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