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1. (10%) Illustrate by concise examples (no more than 30 words for
1. (10%) Illustrate by concise examples (no more than 30 words for

Random Variables - Noblestatman.com
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... A discrete random variable X has a countable number of possible values. The probability distribution of X lists the values and their probabilities. Value of X ...
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... first ‘n’ observations and S2 be the unbiased estimator of the population variance based on the first ‘n’ observations. Find the constant ‘k’ so that the statistic k( M – Xn+1) /S follows a t- distribution. (b) Let X have a Poisson distribution with parameter . Assume that the unknown  is a value ...
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... Randomized Algorithms • Instead of relying on a (perhaps incorrect) assumption that inputs exhibit some distribution, make your own input distribution by, say, permuting the input randomly or taking some other random action • On the same input, a randomized algorithm ...
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Law of large numbers



In probability theory, the law of large numbers (LLN) is a theorem that describes the result of performing the same experiment a large number of times. According to the law, the average of the results obtained from a large number of trials should be close to the expected value, and will tend to become closer as more trials are performed.The LLN is important because it ""guarantees"" stable long-term results for the averages of some random events. For example, while a casino may lose money in a single spin of the roulette wheel, its earnings will tend towards a predictable percentage over a large number of spins. Any winning streak by a player will eventually be overcome by the parameters of the game. It is important to remember that the LLN only applies (as the name indicates) when a large number of observations are considered. There is no principle that a small number of observations will coincide with the expected value or that a streak of one value will immediately be ""balanced"" by the others (see the gambler's fallacy)
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