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Standardizing a Random Variable
If X is a random variable with E(X) = m and V(X) = s2, then Y = (X – m)/ s is a random variable with mean 0 and standard deviation 1.
The standardization (or normalization) of X results in Y.
Standardizing a Random Variable If X is a random variable with E(X) = m and V(X) = s 2 , then Y = (X – m)/ s is a random variable with mean 0 and standard deviatio
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1/2 + 2/8 =
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2+(+3)=
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