Bulbs. The distributor in Exercise 5.43 estimates that each defective bulb costs him $5 for replacement. If
Question:
Bulbs. The distributor in Exercise 5.43 estimates that each defective bulb costs him $5 for replacement. If X is the number of defective bulbs in a box, then $5 X is the cost of defective bulbs in a box.
a. Refer to the probability distribution shown in Exercise 5.43 and determine the probability distribution of the random variable 5X.
b. Determine the mean daily breakdown cost, μ5X , by using your answer from part (a).
c. What is the relationship between μ5X and μX ? (Note: From Exercise 5.43, we get μX .)
d. Find σ5X by using your answer from part (a).
e. What is the apparent relationship between σ5X and σX ? (Note:
From Exercise 5.43, we get σW .)
f. The results in parts
(c) and
(e) hold in general: If X is any random variable and c is a constant,
μcX = cμX and σcX = |c|σX .
Interpret these two equations in words.
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