i. ii. iii. the value of k; the cumulative distribution function of X; P(X <3). P(X<3).
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Given that
Probability mass function of X is
P(X = x) = kx2 , for x = 1 , 2 , 3 , 4
Step by step
Solved in 2 steps with 1 images
- 3.Read and answer please this is a review question2. Consider the experiment of rolling a die until a "6" appears. Let X be the number of rolls needed. Plot the Cumulative distribution function Fx(x) of X. Describe what it means for a function to be right-continuous. You are encouraged to use a computer program to plot this, although it is acceptable that you use rulers and pencils. (You don't need to plot the whole function because the possible values could be ar- bitrary large. Try to plot from 0 to the value that you think it shows the major trend.)The (cumulative) distribution function of X is given below: for Fx(x) = ¹ for { for (a) Determine the pdf for X. (b) Determine the value of the constant k. x 1.
- Given the Cumulative Distribution Function (CDF) of X. Find the variance and the standard deviation of X F(x) = 0 for x < -2 3 for – 21. ABC inc. stock is currently selling for $30, one year from today the stock price can either increase by 20% or decrease by 15%. The probability of an increase in the stock price is equal to 0.3. The one-year risk-free rate is 5% What is the value of a European put that expires in one year with an exercise price of $24. 2. Graphically, show the value and the profit and loss of the following butterfly position: Long in a call with an exercise price of $30, short in 2 calls with an exercise price of $45, and long in a call with an exercise price of 60. All calls are written on the same stock and have the same maturity. 3. "Early exercise of an American option on a stock that does not pay any dividend is not optimal regardless of whether the option is a Call or a Put". True, False, or Uncertain. Explain.Please see attached image...The following function is a cumulative distribution function. x < -10 0.1510Which of the following characteristics do normal and uniform distributions have in common? A The distributions are symmetric and all values are equally likely. B The mean is equal to the median and the range is infinite. The distributions are symmetric and the range is infinite. D The distributions are symmetric and the mean is equal to the median.if x 20 Find the following: P(X > 22) =| The cumulative distribution function of X: if x 20 The probability that at least one out of 8 devices of this type will function for at least 29 months:Recommended textbooks for youA First Course in Probability (10th Edition)ProbabilityISBN:9780134753119Author:Sheldon RossPublisher:PEARSONA First Course in Probability (10th Edition)ProbabilityISBN:9780134753119Author:Sheldon RossPublisher:PEARSON