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The Lognormal Distribution
If ln(X) is a normally distributed random variable, then X is said to be a lognormal variable.
If P1, P2, P3, ... are the prices of a scrip in periods 1, 2, 3, ..., some applications in finance require ln (P2/P1), ln (P3/P2),... to be normally distributed, that is, continuously compounded returns are required to be normal. This property is described as “Stock Prices are Lognormal”.
REMARK
The previous random variables arose out of natural experiments. The following distributions are derived distributions. That is, it is a function of other distributions. We require the following two distributions in Testing of Hypothesis. and our presentation will be restricted by our requirements.
Find the series solution of2x2y”+xy’+(x2-3)Y=0 about regular singular pointuestion..
Average cost function : Now let's turn our attention to the average cost function. If C ( x ) is the cost function for some of the item then the average cost function is,
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Evaluate following indefinite integrals. (a) ∫ 5t 3 -10t -6 + 4 dt (b) ∫ dy Solution (a) ∫ 5t 3 -10t -6 + 4 dt There's not whole lot to do here other than u
how do you you find 40% if you 35 out of 40
Variable stars are ones whose brightness varies periodically. One of the most visible is R Leonis; its brightness is modelled by the function where t is measured in days.
Question A 22 kW, 3-phase, 415 V, 40 A, 50 Hz, 960 rpm, 0.88 PF squirrel cage induction motor drives a pump. The total inertia of the drives system is 1.2 kg-m2. Determine th
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