Final_FormulasEC41twopage

# Final_FormulasEC41twopage - 2 1 2 1 2 2 1 n s n s t x x ±...

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( 29 2 1 1 x x n s i x - - = ( 29 ( 29 ( 29 ( 29 [ ] ( 29 ( 29 [ ] - - - = - - - = = y i n i x i s y y s x x n Y Y n X X n Y X XY n r 1 2 2 2 2 1 1 ( 29 ( 29 ( 29 = - - = x y s s r X X n Y X XY n b 2 2 1 ) ( X b Y b - = 0 Population mean and variance of discrete random variable formulas : i i X p x = μ i i X p x 2 2 ) ( σ - = Dispersion of linear combinations of random variables: 2 2 2 X bX a b = + Y X Y X Y X ρσ 2 2 2 2 + + = + Y X Y X Y X 2 2 2 2 - + = - For a “weighted average” where a+b = 1: Y X Y X bY aX b a b a ρ 2 2 2 2 2 2 + + = + If X 1 2 are uncorrelated (so ρ = 0), then variance of a portfolio of n investments denoted X 1 , X 2 , X 3 , …X n ; each with a 1/n share, is: ( 29 2 2 2 2 2 2 2 2 ) / 1 ( 2 ) / 1 ( 2 ) / 1 ( 1 ) / 1 ( ... ) / 1 ( ) / 1 ( ... 2 1 2 1 X X X X X n X n X n n n n n n n = + + + = + + + Bayes’ rule: ) ( ) | ( ) ( ) | ( ) ( ) | ( ) ( ) ( ) | ( ) ( ) ( ) | ( C C A P A B P A P A B P A P A B P B P A P A B P B P B A P B A P + = = = For X with Binomial distribution: μ = np ; σ 2 = np(1-p) and the probability that X=k is k n k p p k n - - ) 1 (

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CI, α significance level, variance known: ± n Z X x σ α * 2 / ; variance unknown: ± n s t X x * 2 / Two Sample t-test CI, α significance level: 2 2
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Unformatted text preview: 2 1 2 1 * 2 / 2 1 ) ( n s n s t x x + ±-; t-calculated: 2 2 2 1 2 1 2 1 ) ( n s n s x x t +-= Two Sample, Pooled t-test CI, α significance level: 2 1 * 2 / 2 1 1 1 ) ( n n s t x x p + ±-; t-ca lc. 2 1 2 1 1 1 ) ( n n s x x t p +-= Standard Error of Regression: s e = SE e = 2 2-= ∑ n e s i e Standard Error of slope estimate: SE b1 = ∑-2 ) ( x x s i e Standard Error of the intercept estimate: SE b0 = ( 29 ( 29 ∑-+ 2 2 1 x x x n s i e SE of Mean Response = ( 29 ( 29 ∑--+ = 2 2 * ˆ 1 x x x x n s SE i e μ SE of response variable y = ( 29 ( 29 ∑--+ + = 2 2 * ˆ 1 1 x x x x n s SE i e y...
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Final_FormulasEC41twopage - 2 1 2 1 2 2 1 n s n s t x x ±...

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