. Consider again the conditions in Exercise 2, but suppose

Chapter 7, Problem 3

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QUESTION:

. Consider again the conditions in Exercise 2, but suppose also that it is known that 1 2 p 2 3 . If the observations in the random sample of 70 purchases are as given in Exercise 2, what is the M.L.E. of p?

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QUESTION:

. Consider again the conditions in Exercise 2, but suppose also that it is known that 1 2 p 2 3 . If the observations in the random sample of 70 purchases are as given in Exercise 2, what is the M.L.E. of p?

ANSWER:

Step 1 of 3

Let random variables  have joint pdf or pmb

where the parameters  are unknown. When function  is a function of parameters  , it is called the likelihood function.

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