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To generate values of a random variable that has the probability density function (a) Describe clearly and specifically how to apply the inverse transformation method.

To generate values of a random variable that has the probability density function

(a) Describe clearly and specifically how to apply the inverse transformation method. Derive all involved equations.

(b) Generate two values based on (a). (Note: Use RAND() in Excel for random numbers and make sure that you write them down in your solution.)

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