Let Y be a discrete random variable with mean ? and

Chapter 3, Problem 33E

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QUESTION:

Let  be a discrete random variable with mean \(\mu\) and variance \(\sigma^{2}\). If  and  are constants, use Theorems  through  to prove that
a   \(E(a Y+b)=a E(Y)+b=a \mu+b\).
b   \(V(a Y+b)=a^{2} V(Y)=a^{2} \sigma^{2}\).

Equation Transcription:

Text Transcription:

sigma2

E(aY+b)=aE(Y)+b=a mu+b

V(aY+b)=a2V(Y)=a^2 sigma^2

Questions & Answers

QUESTION:

Let  be a discrete random variable with mean \(\mu\) and variance \(\sigma^{2}\). If  and  are constants, use Theorems  through  to prove that
a   \(E(a Y+b)=a E(Y)+b=a \mu+b\).
b   \(V(a Y+b)=a^{2} V(Y)=a^{2} \sigma^{2}\).

Equation Transcription:

Text Transcription:

sigma2

E(aY+b)=aE(Y)+b=a mu+b

V(aY+b)=a2V(Y)=a^2 sigma^2

ANSWER:

 Solution:

Step 1 of 3:

    Here we need to prove that

 a).

 b).

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