Linear Combinations of Independent Discrete and Normal Random Variables
Free SOA Exam P (Probability) lesson in Multivariate Random Variables. 14 min read, ~2,138 words.
Convolution: for independent discrete sums. Closure: Bernoulli sum = Binomial; Poisson sum = Poisson; Normal sum = Normal. Normal linear combination:. Variance ADDS for differences: under independence. With dependence: add to the variance.
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- Example 1
- Example 2
- Example 3
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- 3g
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