Exercise · ZW-EXPECTED-VALUE-001 · ★☆☆ Basic
\(X\) takes the values 0, 1 and 2 with probabilities 0.2, 0.5 and 0.3. Compute \(E[X]\).
Choose one option.
Show answer
- C. \(1.1\)
Exercise · ZW-EXPECTED-VALUE-001 · ★☆☆ Basic
Choose one option.
\(E[X]=0(0.2)+1(0.5)+2(0.3)=1.1\). Averaging the three values without weights gives 1, which ignores the probabilities.
The expectation \(E[X]\) of a random variable \(X\) is the average of its possible values, each weighted by its probability.