In: Statistics and Probability
Suppose X and Y are the scores that a student will receive, respectively, on the verbal and math portions of the SAT test. Further suppose that X and Y are both Nor(700, 10000) and that Cov(X, Y ) = 2500. Find the probability that the total score, X + Y , will exceed 1500. (You can assume that X + Y is normal.)
W: Total Score
W=X+Y
E(W) = E(X+Y) = E(X)+E(Y)= 700+700=1400
Var(W) = Var(X+Y) = Var(X)+Var(Y)+2Cov(X,Y) = 10000+10000+2500=22500
Therefore W follows normal distribution with mean 1400 and variance 22500 or Standard deviation: = 150
probability that the total score, X + Y , will exceed 1500 = P((X+Y) > 1500) = P(W>1500)
P(W>1500) = 1-P(W1500)
Z-score for 1500 = (1500-mean)/Standard deviation = (1500-1400)/150 = 100/150=0.67
From standard normal tables : P(Z0.67)=0.7486
P(W1500)=P(Z0.67) = 0.7486
P(W>1500) = 1-P(W1500) = 1-0.7486= 0.2514
Probability that the total score, X + Y , will exceed 1500 = P((X+Y) > 1500) = P(W>1500) = 0.2514