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The Mean, Variance and Standard Deviation of a Discrete Random Variable Victor I. Piercey November 30, 2009 Victor I. Piercey The Mean, Variance and Standard Deviation of a Discrete Rando The Mean of a Discrete Random Variable If you have a discrete random variable X with the following probability distribution: Value of X Probability x1 p1 x2 p2 ··· ··· xn pn the mean of X is the sum of the products xi pi : X µX = x1 p1 + x2 p2 + · · · + xn pn = xi pi . This is sometimes called the expected value. Victor I. Piercey The Mean, Variance and Standard Deviation of a Discrete Rando Example The distribution for X where X is the number of rooms in an owned house in San Jose, CA is as follows: Rooms Probability Rooms Probability 1 0.003 6 0.224 2 0.002 7 0.197 3 0.023 8 0.149 4 0.104 9 0.053 5 0.210 10 0.035 Find the mean µX . Victor I. Piercey The Mean, Variance and Standard Deviation of a Discrete Rando Centers and Spreads The mean measures where the distribution is centered. The variance and standard distribution, which we will compute next, measures how the distribution is spread out. Victor I. Piercey The Mean, Variance and Standard Deviation of a Discrete Rando The Variance and Standard Deviation of a Discrete Random Variable If you have a discrete random variable X with the following probability distribution: Value of X Probability x1 p1 x2 p2 ··· ··· xn pn with mean µX , then the variance of X is σX2 = (x1 −µX )2 p1 +(x2 −µX )2 p2 +· · ·+(xn −µX )2 pn = X (xi −µX )2 pi . The standard deviation σX is the square root of the variance. Victor I. Piercey The Mean, Variance and Standard Deviation of a Discrete Rando Example The distribution for X where X is the number of rooms in an owned house in San Jose, CA has mean µX = 6.284 and is as follows: Rooms Probability Rooms Probability 1 0.003 6 0.224 2 0.002 7 0.197 3 0.023 8 0.149 4 0.104 9 0.053 5 0.210 10 0.035 Find the variance σX2 and the standard deviation σX . Victor I. Piercey The Mean, Variance and Standard Deviation of a Discrete Rando Assignment Page 486: 7.23,7.25 and 7.30 Page 491: 7.32, 7.33 Due Wednesday Victor I. Piercey The Mean, Variance and Standard Deviation of a Discrete Rando