Number of Horses the Random Variable X Represents the Number

question 12

Essay

Number of Horses The random variable X represents the number of horses per family in a rural area in Iowa, with the probability distribution: p ( x )= 0.05 x , x = 2, 3, 4, 5, or 6. {Number of Horses Narrative} Find the variance and standard deviation of X .

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Definitions:

Short-Term Investments

Assets that are expected to be converted into cash, sold, or consumed within one year or one business cycle, whichever is longer.

Non-Interest-Bearing

A financial instrument or account that does not earn interest over time, implying that its value does not increase beyond the principal amount.

Promissory Note

A finance-related written assurance where one party obligates to pay the other a clearly defined monetary amount, either when required or at a particular future time.

Discounted

Refers to the process of determining the present value of a future amount of money or stream of cash flows given a specific rate.