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COMPUTING THE VARIANCE OF A DISCRETE

PROBABILITY DISTRIBUTION
Lesson Objectives

At the end of this lesson, you are expected to:

• illustrate and calculate the variance of a


discrete random variable;
• interpret the variance of a discrete random
variable; and
• solve problems involving variance of
probability distributions.
Lesson Introduction

The variance and standard deviation describe


the amount of spread, dispersion, or variability
of the items in a distribution.
Discussion Points

STEPS IN SOLVING FOR THE VARIANCE

1. Find the mean of the probability distribution.


2. Multiply the square of the value of the random variable X
by its corresponding probability.
3. Get the sum of the results obtained in Step 2.
4. Subtract the mean from the results obtained in Step 3.
Example
Number of Heads

When three coins are tossed, the probability


distribution for the random variable X
representing the number of heads that occur is
given below. Compute the variance and
standard deviation of the probability
distribution.
Solution to Example
Step 1.
Find the mean of the probability distribution
using the formula:
μ=∑X• P(X)
Solution to Example
Step 2:
Multiply the square of the value of the random
variable X by its corresponding probability.
Solution to Example
Step 3:
Get the sum of the results obtained in Step 2.
Solution to Example
Step 4:
Subtract the square of the mean from the results
obtained in Step 3 to get the variance. So, the
formula for the variance of a probability distribution
is given by σ2 = ∑X2 • P(X) – μ2

The standard deviation is the square root of the


variance. Thus, σ = √∑X2 • P(X) – μ2
Solution to Example
Step 4:
The variance is given by
σ2 = ∑X2 • P(X) – μ2
= 3 – (1.5)2
= 0.75

The standard deviation is


σ = √0.75 = 0.87.
Activity 5A Complete the table below and find
the variance and standard deviation of the
following probability distributions.
Exercise B
Find the variance and standard deviation of the
probability distribution of the random variable
X, which can take only the values 3, 5, and 7,
given that P(3)= 7/30,P(5)= 1/3,andP(7)=13/30.

Exercise C
The probabilities of a machine manufacturing 0, 1, 2, 3,
4, or 5 defective parts in one day are 0.75, 0.17, 0.04,
0.025, 0.01, and 0.005, respectively. Find the variance
and standard deviation of the probability distribution.
Exercise D
The number of inquiries received per day by the
Office of Admissions in a certain university is
shown below. Find the variance and standard
deviation.
Number of Inquiries X Probability P(X)
22 0.08
23 0.19
24 0.36
25 0.25
26 0.07
27 0.05
Summary
To find the mean of the probability distribution,

1. Find the mean of the probability distribution.


2. Multiply the square of the value of the
random variable X by its corresponding
probability.
3. Get the sum of the results obtained in Step 2.
4. Subtract the mean from the results obtained
in Step 3.

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