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sible outcomes I discussed in class. (I used Red, Blue, Yellow and Green little balls to represent the outcomes.) Now assume that only three outcomes

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sible outcomes I discussed in class. (I used Red, Blue, Yellow and Green little balls to represent the outcomes.) Now assume that only three outcomes are possible with the following probability distribution: Stock H % Rate of Return (39) p(:r) Bed 1 % Blue 2 % Yellow 3 % You can imagine, for example, that there is a stock index with 300 stocks, 100 being Red, 100 Blue and 100 Yellow. (a) Suppose you take a sample of n = 2 and consider all possible samples of n = 2. Find the distribution of the sample mean X and the corresponding pg? and a}; values . (b) Suppose you take a sample of n = 3 and consider all possible samples of n = 3. Find the distribution of the sample mean X and the corresponding u);- and a)? val ues. For this part you can refer to the Excel le for a list of all possible samples of n = 3. (c) What is your conclusion regarding the shape of the distributions of X and a); and a)? values

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