A consultant's salary, captured by the random variable Y = B + X comes from a deterministic base B = 78 and a random bonus X. The bonus has mean E[X] = 16 and variance V[X] = 240. What is the expected value of the total compensation E[Y]?

Calculus For The Life Sciences
2nd Edition
ISBN:9780321964038
Author:GREENWELL, Raymond N., RITCHEY, Nathan P., Lial, Margaret L.
Publisher:GREENWELL, Raymond N., RITCHEY, Nathan P., Lial, Margaret L.
Chapter1: Functions
Section1.2: The Least Square Line
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A consultant's salary, captured by the random variable Y = B + X comes from a deterministic
base B = 78 and a random bonus X. The bonus has mean E[X] = 16 and variance V[X] =240.
What is the expected value of the total compensation E[Y]?
Transcribed Image Text:A consultant's salary, captured by the random variable Y = B + X comes from a deterministic base B = 78 and a random bonus X. The bonus has mean E[X] = 16 and variance V[X] =240. What is the expected value of the total compensation E[Y]?
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Given that

E[X]=16, V[X]=240

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