The expected value and variance of a linear function of a random variable
Summary
If \(X\) is a random variable and \(a,b\) are two constants then
\[E\left( a+bX \right)=a+bE\left( X \right)\]
\[Var\left( a+bX \right)=b^2Var(X)\]
Summary
If \(X\) is a random variable and \(a,b\) are two constants then
\[E\left( a+bX \right)=a+bE\left( X \right)\]
\[Var\left( a+bX \right)=b^2Var(X)\]