Consider a Random Variable,X,with Uniform Density Over the Range 0

question 138

Multiple Choice

Consider a random variable,X,with Uniform density over the range 0 to 1. What is P(0.2 < X < 0.7) ?

• A)1.00
• B)0.90
• C)0.14
• D)0.50
• E)0.00

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Definitions:

Progressive Tax System

A tax system where the tax rate increases as the taxable amount or income increases, effectively imposing a higher percentage rate on those who earn more.

Regressive Tax

A tax system where the tax rate decreases as the taxable amount increases, placing a higher burden on lower-income earners relative to their income.

Income Groups

Categories of people classified according to the level of their income, often used in socio-economic and market research to analyze spending habits, needs, and trends.

Lump-Sum

A single payment made at a particular time, as opposed to a series of smaller payments or installments.