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Exercice II (Gaussian risk) Let X ~ N(0, 1) and assume that X be the rate of return of a given security (e.g., stock). In
Exercice II (Gaussian risk) Let X ~ N(0, 1) and assume that X be the rate of return of a given security (e.g., stock). In what follows, o will denote the Gaussian density. 1. Using the table, compute P(X 2 1). Same question for P(X 2 2) and P(X 2 3) 2. Using the table, compute P(X 0. 6. Determine P(X 2 0|X > 1). Determine P(X 2 2|X > 0). Determine P(X 2 3|X > 1)
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