In: Economics
Suppose that X is a binomial random variable with parameters n=20 and p=0.7.
Choose a wrong statement about the random variable X.
| a. |
The maximum possible value of X is 20. |
|
| b. |
The minimum possible value of X is 0. |
|
| c. |
The variance of X is 4.2. |
|
| d. |
The expected value of X is 14. |
|
| e. |
Pr(X = 19)+ Pr(X = 1)= 1 |
We know Binomial Random Distribution is given as

Where, x = {0,1,2,3,4.......,n}
As per the question :-
n = 20
p = 0.7
Lets see each statement one by one :
a. Maximum possible value of x is 20 :- As we know x ranges from {0,1,2,3.....,n}. Here n = 20. Hence maximum value of x is 20. So it's correct
b. Minimum possible value of x is 0 :- As we know binomial random variable x ranges from {0,1,2,3,4.....,n}. So the minimum possible value of x is 0. So it's correct
c. Variance of X is 4.2 :- We know that the variance of a binomial random variable is given as

So using the values



So it's correct
d. Expected value of X is 4.2 :- We know expected value or mean of binomial distribution is given as



So it's correct
e. P(X=19) + P(X=1) = 1
We can put the values in the binomial function as given earlier





So,

So, It's wrong
Hence, Statement e. is wrong