1 ST

LONG EXAM
When: March 1,2023 (Wednesday)
Coverage: Discrete Random Variable;
Continuous Random Variable;
Probability Distribution; Mean,
Variance, Standard Deviation;
Expected Mean
 1 ST
LONG EXAM
Type of Test: I. Identification Type.
(Sx1); No erasure; # of items - 20
Coverage: items 1 – 10 (Discrete
Random Variable; Continuous Random
Variable); items 11 – 20 (Probability
Distribution)
 1 ST
LONG EXAM
Type of Test: II. Problem Solving Type.
# of items - 2
Coverage: item 1 (Mean, Variance,
Standard Deviation – 30 points worth);
item 2 (Expected Mean)
 1 ST
LONG EXAM
Type of Test: III. Bonus (5 points
worth)
Exam Guidelines:
1. Close – notes exam.
2. Bring your scientific calculator.
 1 ST
LONG EXAM
Type of Test: III. Bonus (5 points
worth)
Exam Guidelines:
4. Bring a working pen.
 1 ST
LONG EXAM
Type of Test: III. Bonus (5 points
worth)
Exam Guidelines:
4. If your scores in the long exams will reach
80% of the total scores, then you can be
exempted in the Midterm exam.
 OBJECTIVES
• interprets the mean and variance of a
discrete random variable. (M11/12SP-IIIb-
3)
• solves problems involving mean and
variance of probability distributions.
(M11/12SP-IIIb-4)
 MEAN AND
VARIANCE OF A
DISCRETE
RANDOM
VARIABLE
 CONCEPT
Expected Mean
average value when the
experiment is repeated
many times to real-life
 CONCEPT
Expected Mean Samples
 taking a chance in a raffle
 making a bet in games of
chance
 considering an insurance policy
 CONCEPT
Formula for Expected
Mean
•
 CONCEPT
where:
• is the value of the random variable
for outcome
• is the mean of random variable X
 CONCEPT
where:
• is the probability that the random
variable will be outcome
 WHAT DOES THE EXPECTED
VALUE’S RESULT MEAN?

The negative value means one

loses money on the average.
 WHAT DOES THE EXPECTED
VALUE’S RESULT MEAN?

The positive value means one

wins money on the average.
 WHAT DOES THE EXPECTED
VALUE’S RESULT MEAN?

The zero value means that the

game is fair and a fifty – fifty
chance.
 SAMPLE EXPERIMENT
1. Xander is paid ₱20 whenever the
results of tossing two coins are both
heads but pays ₱10 whenever the
results are not both heads. What is
his expected gain per toss?
 SAMPLE EXPERIMENT
2. Senior citizens of a particular barangay organize a Christmas
raffle bonanza. One thousand raffle tickets are sold for ₱50.00
each. Each one has an equal chance of winning. The first prize is
a 32-inch LED TV worth ₱10,000.00, the second prize is an
electric oven worth ₱5,000.00 and the third prize is a grocery pack
worth ₱2,500.00. Let X denotes the net gain from the purchase of
one ticket.
a. Construct the probability distribution of X.
b. Find the probability of winning any amount in the purchase of
one ticket.
c. Find the expected value of X, then interpret.
 SAMPLE EXPERIMENT
3. A life insurance company will sell a
₱250,000.00 one-year term life insurance policy
for members of armed forces of the Philippines
for a premium of ₱200.00. Find the expected
value to the company of a single policy if a
member of the armed forces police has a
99.98% chance of surviving one year?
 SAMPLE EXPERIMENT
4. Two thousand tickets are sold for ₱20.00 each. One ticket
will win ₱10,000.00, two tickets will win ₱5,000.00 each and
three tickets will win ₱1,000.00 each. Let X denotes the net
gain from the purchase of a randomly selected ticket.
a. Construct the probability distribution of X.
b. Find the probability of winning any amount in the purchase
of one ticket.
c. Find the expected value of X, then interpret.
 SAMPLE EXPERIMENT
5. An insurance company will sell a
₱500,000.00 one-year term legs insurance
policy for ramp models for a premium of
₱500.00. Find the expected value to the
company of a single policy if a model has a
99.96% chance of being uninjured in one
year?