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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.
Express the product of -9p3r and the quantity 2p - 3r in simplified form. The translated expression would be -9p3r(2p - 3r). Noticed that the key word product means multiply.
Linear Equations We'll begin the solving portion of this chapter by solving linear equations. Standard form of a linear equation: A linear equation is any equation whi
Show all your work. 80% of your score is for correct justified answers; 20% is for correctly and clearly demonstrating why. For the graphing problems, use www.desmos.com/calculator
Ok this is true or false wit a definition. The GCF of a pair of numbers can never be equal to one of the numbers.
What is equivalence relation? Prove that relation 'congruence modulo' ( ≡mod m) is an equivalence relation. Ans: A relation R illustrated on a nonempty set A is said to be
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Multiply following. Assume that x is positive. (3√x-√y)(2√x-5√y) Solution (3√x-√y)(2√x-5√y) =6√x 2 -15√x√y-2√x√y+5√y
Sketch the graphs of the following functions: (A) y = 1/(x 2 +1) (b) x= sin x,
Classical Probability Consider the experiment of tossing a single coin. Two outcomes are possible, viz. obtaining a head or obtaining a tail. The probability that it is a tail
how to round off numbers to the nearest tens and to the nearest hundred
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