Determine the businessmans expected profit The probability o

Determine the businessman\'s expected profit. The probability of the discrete random variable X is as follows: Calculate the expected value of the random variable X. Obtain the variance of the random variable X. Determine the standard deviation of the discrete random variable X

Solution

x -2      -1      0      1      2      Total P(x) 1/10 1/5 1/10 2/5 1/5 1      xp - 1/5 - 1/5 0      2/5 2/5 2/5 x^2p 2/5 1/5 0      2/5 4/5 1 4/5 Mean Sum of xp 2/5 E(X^2) Sum of x^2p 1 4/5 Var(X) 1 16/25 Std dev(x) 1.280624847