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AP Statistics Name: _____________________ Lesson 6.3 Transforming and Combining Random Variables Effect of Linear Transformations on a Random Variable Ex. #1 A small ferry runs every half hour from one side of large river to the other. The number of cars X on a randomly chosen ferry trip has the probability distribution shown below. Please use calculator for work below. Cars Probability 0 0.02 1 0.05 2 0.08 3 0.16 4 0.27 5 0.42 a) Find the mean and standard deviation of the random variable (X). b) Make a graph of the probability distribution for the random variable (X). Describe its shape. c) The cost of the ferry trip is $5. Make a graph of the probability distribution for the random variable M=money collected on a randomly selected ferry trip. Describe its shape. d) Find and interpret µ M and σ M . e) The ferry’s company’s expenses are $20 per trip. Define the random variable Y to be the amount of profit (money collected minus expenses) made by the ferry company on a randomly selected trip. Write an equation for Y in terms of M. f) How does the mean of Y relate the mean of M? What is the practical importance of µY ? g) How does the standard deviation of Y relate to the standard deviation of M? What information does σ Y give us? Summary: Linear Transformation of a Random Variable AP Statistics Name: _____________________ Combining Random Variables Rules for combining Random Variables: Ex. #1 A college uses SAT scores as one criterion for admission. Experience has shown that the distribution of SAT scores among its entire population of applicants is: SAT Math Score (X) SAT Verbal Reasoning (Y) µ X = 625 µY = 590 σ X = 90 σ Y = 100 What are the mean and standard deviation of the combined Math and Verbal Reasoning scores amoung the students applying to this college? Ex. #2 An electronics store has determined that its sales of big screen TVs has the following distribution: X= # units sold 100 200 400 700 P(X) 0.2 0.4 0.3 0.1 a) Is X discrete or continuous? b) Calculate the mean, variance and standard deviation for the probability distribution. c) Suppose that the store has a cost structure determined by the formula C = 55 X + 250 . Create the probability distribution for the Cost (C). (we are transforming the random variable, X) Cost (C) 100 200 400 700 P(C) 0.2 0.4 0.3 0.1 AP Statistics Name: _____________________ d) Suppose the store also sells computers. The sale of computers follows the distribution below: Y= # units sold e) P(Y) 200 300 500 1000 0.1 0.2 0.5 0.2 E e) Find the mean, variance and standard deviation for Y. f) Suppose the profit is given by the formula: Z = 200 X + 350Y . Find the mean and standard deviation of the store’s profit. Combining Normal Random Variables: Ex. #3 Tom and George are playing in the club golf tournament. Their scores vary as they play the course frequently. Both men’s scores follow a normal distribution. Tom’s score (X) has a mean of 110 with a standard deviation of 10 and George’s score (Y) has a mean of 100 with a standard deviation of 8. If they play independently, what is the probability that Tom will score lower than George and consequently do better in the tournament? Homework: pg. 378 # 35, 39, 40, 49, 51, 53, 55, 57, 61, Multiple Choice #65-66 (quiz next class)