ProbabilityMCQMTP June 24 Series IIQuestion 2850 of 295
All Questions

If X\displaystyle X and Y\displaystyle Y are two random variables then V(x+y)\displaystyle V(x+y) is

Options

AV(x)+V(y)\displaystyle V(x) + V(y)
BV(x)+V(y)2Cov(x,y)\displaystyle V(x) + V(y) - 2Cov(x,y)
CV(x)+V(y)+2Cov(x,y)\displaystyle V(x) + V(y) + 2Cov(x,y)
DV(x)V(y)\displaystyle V(x) - V(y)
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Correct Answer

Option cV(x)+V(y)+2Cov(x,y)\displaystyle V(x) + V(y) + 2Cov(x,y)

All Options:

  • AV(x)+V(y)\displaystyle V(x) + V(y)
  • BV(x)+V(y)2Cov(x,y)\displaystyle V(x) + V(y) - 2Cov(x,y)
  • CV(x)+V(y)+2Cov(x,y)\displaystyle V(x) + V(y) + 2Cov(x,y)
  • DV(x)V(y)\displaystyle V(x) - V(y)

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Detailed Solution & Explanation

For any two random variables X\displaystyle X and Y\displaystyle Y, the variance of their sum is given by the formula: Var(X+Y)=Var(X)+Var(Y)+2Cov(X,Y)\displaystyle \text{Var}(X+Y) = \text{Var}(X) + \text{Var}(Y) + 2\text{Cov}(X,Y). In the given notation: V(x+y)=V(x)+V(y)+2Cov(x,y)\displaystyle V(x+y) = V(x) + V(y) + 2\text{Cov}(x,y). Hence, **Option C** is the correct answer.

About This Chapter: Probability

Paper

Paper 3: Quantitative Aptitude

Weightage

5-7 Marks

Key Topics

Probability Operations, Expected Value

A logic-heavy chapter dealing with random experiments, events (mutually exclusive, exhaustive), set theory probability, conditional probability, and Bayes' Theorem. It forms the basis for Theoretical Distributions.

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Exam Strategy Tip

Always draw a quick Venn Diagram or tree when faced with 'At least one' or 'Only A but not B' wording. It saves you from double-counting.

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