Chapter 5- Probability

Distributions: Expected Value

of Random variable, Binomial ,
Poison and Normal
Prof. Arnab Chakraborty
Probability Distribution of Number of Tails on tossing the coin
twice
Expected Value of a Random Variable
Direct from the Binomial Table Values
Measures for Central Tendency
and Dispersion for Binomial
From Poisson Table
Q. 2.

The average stock price for companies making up the S& P 500 is Rs. 30 and the standard deviation is Rs. 8.2.

Assume that stock prices are normally distributed. Answer the followings:
1. What is the probability of a company will have a stock price of at least Rs. 40
2. What is the probability of a company will have stock price no higher than Rs. 20
3. What is the probability of a company will have a stock price between Rs. 40 and Rs. 50
4. What is the probability of a company will have stock price no lower than Rs. 50