The Expected Value of a Discrete Random Variable

question 80

Multiple Choice

The expected value of a discrete random variable

• A) is the most likely or highest probability value for the random variable.
• B) will always be one of the values x can take on, although it may not be the highest probability value for the random variable.
• C) is the average value for the random variable over many repeats of the experiment.
• D) is the value it is expected to assume in the next trial.

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Definitions:

Non-Cancellable

A contract or agreement that cannot be terminated or cancelled by either party involved.

Future Sacrifice

The expected loss or cost in the future due to present decisions or commitments.

Essential Characteristic

A fundamental or inherent property that defines an entity, distinguishing it from others.

Liability

A company's financial debts or obligations that arise during the course of business operations.